Acme Company produces a single product and uses a standard cost accounting system. For

the current month, budgeted production is $3,500$ units of finished goods and budgeted direct

labor costs are $$117,600.$ Actual production is $3,350$ units, actual direct labor costs are

$$111,850,$ and actual direct labor hours worked are $6,450$ hours. The direct labor standard is

$2\mathrm{.}0$ hours per unit of finished goods. What is the direct labor rate variance?

$$1,130$ Favorable

$$3,490$ Favorable

$$2,950$ Favorable

$$5,750$ Favorable