In March, Leona Company made 4,500 units of its product. Leona uses a standard cost system and applies overhead cost based on direct labor hours.

Standard:
DLH per unit	2.50
Variable overhead per DLH	$1.75
Fixed overhead per DLH	$3.10
Budgeted variable overhead	$21,875
Budgeted fixed overhead	$38,750
Actual:
Direct labor hours	10,000
Variable overhead	$26,250
Fixed overhead	$38,000

Refer to Leona Company. Using the four-variance approach, what is the variable overhead spending variance?

	a.	$4,375.00 U
	b.	$4,375.00 F
	c.	$8,750.00 U
	d.	$6,562.50 U