Fred Company ended $2024$ Q$2$ by paying its direct labour employees at the budgeted wage rate of $$20$ per hour. It produced and sold $4,000$ units of output by consuming $4,680$ hours $($standard direct labours are $1\mathrm{.}25$ per unit$).$ It applied variable overhead using a predetermined overhead rate of $$15$ per direct labour hour. Its budgeted fixed overhead for Q$2$ was $$105,000$ using a rate of $$20$ per

direct labour hour.

$1.$ Which of the following statements is true?

A$.$ Direct labour efficiency variance $=$ $$13,600$ U

B$.$ Direct labour rate variance cannot be calculated

C$.$ Direct labour rate variance $=$ $$13,600$ F

D$.$ Direct labour efficiency variance cannot be calculated

E$.$ Direct labour efficiency variance $=$ $$6,400$ F