I need detailed help with steps on how to solve, and why answer which is C is what it is, and where each number comes from explained (please be ready for follow up questions for best answer).

Question : At Overland Company, maintenance cost (a variable manufacturing overhead expense) varies directly with machine hours. The performance report for July showed the actual maintenance costs totaled $9,800 and that the associated variance was $200 Favorable. If 8000 machine hours were actually worked during July , the standard maintenance cost per machine hour (standard rate) was :

A) 1.15 B) 1.20 C) 1.25 D) 1.30 E) None