Feemster Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During October, the company budgeted for 5,900 units, but its actual level of activity was 5,850 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for October:

Data used in budgeting:

	Fixed element per month			Variable element per unit
Revenue		-		$	29.90
Direct labor	$	0		$	5.60
Direct materials		0			8.60
Manufacturing overhead		37,000			1.30
Selling and administrative expenses		27,200			0.80
Total expenses	$	64,200		$	16.30

Actual results for October:

Revenue	$	176,095
Direct labor	$	31,510
Direct materials	$	49,800
Manufacturing overhead	$	45,775
Selling and administrative expenses	$	31,670

The activity variance for direct labor in October would be closest to:

Multiple Choice

• $280 F

• $280 U

• $1,530 U

• $1,530 F