Handerson Corporation makes a product with the following standard costs: Direct materials Direct labor Variable overhead Standard Quantity or Hours 8.9 kilos 0.4 hours 0.4 hours The company reported the following results concerning this product in August. Actual output Raw materials used in production Purchases of raw materials Standard Price or Rate 3,600 units 29,430 kilos. 32,000 kilos. 1,100 hours, $ 6.40 per kilo $ 24.00 per hour $ 6.40 per hour Actual direct labor-hours Actual cost of raw materials purchases Actual direct labor cost Actual variable overhead cost $ 199,920 $ 23,136 $ 7,940 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purcha The variable overhead rate variance for August is: Multiple Choice $1,178 F $900 U $1,178 U