Humphrey Manufacturing has the following standards for its production department:

Overhead is assigned to products based on standard direct labor hours. Humphrey budgeted 10,000 finished lots for the period, 9,810 were actually produced. Actual overhead was $340,000 and actual direct labor hours were 3,950. What is Humphreys overhead efficiency variance?

Materials Direct labor Variable overhead Fixed overhead Total cost per lot 10 pounds at $2.40/lb 0.5 hour at $16.00/hr 0.5 hour at $24.00/hr 0.5 hour at $43.20/hr Per finished lot of product $24.00 8.00 12.00 21.60 $65.60 Multiple Choice $4,000 favorable $4,000 unfavorable O $22,920 favorable $29,200 unfavorable O $33,304 favorable