Cheerful Colors allocates manufacturing overhead based on direct labor hours. Each batch of crayons should require one direct labor hour. According to the static budget, the company expects to incur the following: 1,900 DLHrs per month, $12,000 in variable manufacturing overhead, and $4,800 in fixed manufacturing overhead. During June Cheerful Colors actually used 850 direct labor hours to make 1,250 batches of crayons and spent $8,000 in variable manufacturing costs and $5,400 in fixed manufacturing costs. Cheerful Colors' variable overhead cost variance was ____________.

(Round intermediary calculations to the nearest thousandth, X.XXX, and your final answer to the nearest whole dollar.)

Answer A $2,632 F

Answer B $5,882 U

Answer C $5,882 F

Answer D $2,632 U