Coderre Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During July, the company budgeted for 6,500 units, but its actual level of activity was 6,450 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for July:

Data used in budgeting:

	Fixed element per month	Variable element per unit
Revenue		$34.00
Direct labor	$0	$6.00
Direct materials	0	13.60
Manufacturing overhead	35,000	1.50
Selling and administrative expenses	25,300	0.70
Total expenses	$60,300	$21.80

Actual results for July:

Revenue	$220,100
Direct labor	$38,580
Direct materials	$88,900
Manufacturing overhead	$42,500
Selling and administrative expenses	$30,450

The direct labor in the planning budget for July would be closest to:

$38,580

$38,700

$38,970

$39,000