Machine Builders Incorporated adopted a standard cost system several years ago that it uses in conjunction with its process cost system. The per-unit standard costs for direct materials and direct labor for its single product are as follows:

Materials:(4 kilograms $10 per kilogram)	$ 40
Labor:(4 hours $18 per hour)	$ 72

All materials are issued at the beginning of processing. The operating data shown below were taken from the records for July:

In-process beginning inventory	none
In-process ending inventory90% complete as to labor	2,300	units
Units completed during the month	8,370	units
Budgeted output	9,300	units
Purchases of materials, in kilograms (AQ)	37,800
Total actual labor costs incurred	$ 687,500
Direct labor hours worked (AQ)	35,280	hours
Materials purchase-price variance	$ 3,780	unfavorable
Increase in materials inventory in July	1,890	kilograms
Beginning inventory of materials	0	kilogram

The direct labor flexible-budget variance for July was: