Doogan Corporation makes a product with the following standard costs:

Standard Quantity or Hours Standard Price or Rate

Direct materials 7.4grams$ 2.00 per gram

Direct labor 0.5 hours$ 20.00 per hour

Variable overhead 0.5 hours $ 7.00 per hour

The company produced 5,200 units in January using 39,310 grams of direct material and 2,380 direct labor-hours. During the month, the company purchased 44,400 grams of the direct material at $1.70 per gram. The actual direct labor rate was $19.30 per hour and the actual variable overhead rate was $6.80 per hour.

The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.

The labor efficiency variance for January is: