Handerson Corporation makes a product with the following standard costs: Direct materials Direct labor Variable overhead Standard Quantity Standard Price or or Hours Rate 8.5 kilos $ 6.00 per kilo 0.4 hours $20.00 per hour 0.4 hours $ 6.00 per hour The company reported the following results concerning this product in August. Actual output Raw materials used in production Purchases of raw materials Actual direct labor-hours Actual cost of raw materials purchases Actual direct labor cost Actual variable overhead cost 3,200 units 29,030 kilos 31,600 kilos 1,160 hours $195, 920 $ 22,736 $ 7,540 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 variable overhead rate variance for August is: Multiple Choice O $640 F O O $640 V o