Assume that a companys planning budget is based on 2,000 units and it actually produced and sold 2,500 units. Its planning budget is based on the assumption that 60% of its administrative expenses are fixed and the remainder is variable. If the planning budget includes $12,000 of fixed administrative expenses and the companys actual total administrative expense for the period is $19,000, then what is the amount of the administrative expense spending variance?

Multiple Choice

$5,000 favorable

$2,000 unfavorable

$5,000 unfavorable

$3,000 favorable