Miguez Corporation makes a product with the following standard costs:

	Standard Quantity or Hours			Standard Price or Rate			Standard Cost Per Unit
Direct materials		3.5	liters	$	8.20	per liter	$	28.70
Direct labor		0.7	hours	$	34.00	per hour	$	23.80
Variable overhead		0.7	hours	$	3.20	per hour	$	2.24

The company budgeted for production of 3,800 units in September, but actual production was 3,700 units. The company used 6,640 liters of direct material and 1,800 direct labor-hours to produce this output. The company purchased 7,000 liters of the direct material at $8.40 per liter. The actual direct labor rate was $36.10 per hour and the actual variable overhead rate was $2.90 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 variable overhead rate variance for September is: