Mynarc Corporation produces fertilizer and distributes the product by using his tanker trucks. Mynarc uses budgeted fleet hours to allocate variable manufacturing overhead. The following information pertains to the company's manufacturing overhead data:

Budgeted output units

675 truckloads

Budgeted fleet hours

540 hours

Budgeted variable manufacturing overhead costs for

675 loads $82,350

Actual output units produced and delivered

615

truckloads Actual fleet hours

465 hours

Actual variable manufacturing overhead costs $77,550

What is the flexible-budget variance for variable manufacturing overhead?

A.

$4,800 favorable

B.

$4,800 unfavorable

C.

$2,520 unfavorable

D.

$2,520 favorable