Arrow Industries employs a standard cost system in which direct materials inventory is carried at standard cost. Arrow has established the following standards for the prime costs of one unit of product.

	Standard Quantity		Standard price		Standard cost
Direct Materials	12 pounds	$	2.00 per pound	$	24.00
Direct Labor	0.25 hour	$	8.00 per hour	$	2.00
				$	26.00

During November, Arrow purchased 154,400 pounds of direct materials at a total cost of $314,200. The total factory wages for November were $26,400, 90% of which were for direct labor. Arrow manufactured 12,000 units of product during November using 83,700 pounds of direct materials and 3,080 direct labor hours.

What is the direct labor price (rate) variance for November?

	$3,040 favorable.
	$2,400 favorable.
	$880 favorable.
	$1,760 favorable.