A manufacturing company has provided the following budgeted information relating to direct labour costs for one of its products: Budget Output 560 units Labour time required per unit 2.5 hours Wage rate 14/hour At the end of the budgeting period, the following actual results were available: Actual Output 490 units Total direct labour cost 17,640 Total direct labour time 1,470 hours What were the wage rate and efficiency variances for direct labour? Wage rate Efficiency A) 2,940 Favourable 3,430 Adverse B) 1,960 Favourable 980 Adverse C) D) 1,960 Favourable 840 Adverse 2,940 Favourable 2,940 Adverse