Hurren Corporation makes a product with the following standard costs: Direct materials Direct labor 1 Variable overhead Standard Quantity or Standard Price or Hours Rate 5.3 grams $7.00 per gram 0 .8 hours $18.00 per hour 0.8 hours $7.00 per hour Standard Cost Per Unit $37.10 $14.40 $5.60 The company reported the following results concerning this product in June. Originally budgeted output Actual output Raw materials used in production Actual direct labor-hours Purchases of raw materials Actual price of raw materials purchased Actual direct labor rate Actual variable overhead rate 5,700 units 5,600 units 28,470 grams 4,400 hours 32,700 grams $7.10 per gram $18.90 per hour $6.70 per hour 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 labor efficiency variance for June is: O $1,512 F $1,440 U $1,440 F O $1,512 U