Fletcher Company collected the following data regarding production of one of its products. Compute the direct labor efficiency variance.

Direct labor standard (2.00 hours @ $15.60/hour)	$ 31.20	per finished unit
Actual direct labor hours	87,000	hours
Actual finished units produced	43,300	units
Actual cost of direct labor	$ 1,361,960

Multiple Choice

• $6,240 favorable.

• $4,760 favorable.

• $11,000 favorable.

• $11,000 unfavorable.

• $6,240 unfavorable.