Desks Company (DC) provided the following information:

Budgeted Variable Manufacturing Overhead (VOH): $54,000

Budgeted Fixed Manufacturing Overhead (FOH): $162,000

Budgeted Production: 18,000 units

Budgeted Direct Labor Hours (DLH): 27,000 hours

Budgeted DLH per Unit: 1.5 DLH

Standard: VOH 1.5 DLH @ $2 per Hour: $3 per unit

Standard: FOH 1.5 DLH @ $6 per Hour: $9 per unit

Actual VOH: $68,250

Actual FOH: $148,000

Actual Production: 20,000 units

Actual DLH: 32,500

Based on the above information and assuming that DLH is a useful predictor of VOH, what is DC's variable overhead efficiency variance?

A: $5,000 Unfavorable

B: $3,250 Unfavorable

C: $3,250 Favorable

D: $5,000 Favorable