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Commodore Company uses a standard cost system for its production process and applies overhead based on direct labor hours. The following information is available for

Commodore Company uses a standard cost system for its production process and applies overhead based on direct labor hours.

The following information is available for September when Commodore produced 5,000 units:

Standard:Direct labor hours per unit3

Variable overhead per direct labor hour$1.80

Fixed overhead per direct labor hour$3.25

Budgeted units5,400

Actual:Direct labor hours16,000

Variable overhead$31,325

Fixed overhead$49,750

What is the variable overhead spending variance?

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