Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows:

	Standard Quantity		Standard Price (Rate)			Standard Unit Cost
Direct materials (plastic)	12	sq ft.	$	0.83	per sq. ft.	$	9.96
Direct labor	0.3	hr.	$	10.50	per hr.		3.15
Variable manufacturing overhead (based on direct labor hours)	0.3	hr.	$	2.20	per hr.		0.66
Fixed manufacturing overhead $345,800 910,000 units)							0.38

Parker Plastic had the following actual results for the past year:

Number of units produced and sold		1,040,000
Number of square feet of plastic used		11,400,000
Cost of plastic purchased and used	$	9,120,000
Number of labor hours worked		308,000
Direct labor cost	$	3,449,600
Variable overhead cost	$	689,000
Fixed overhead cost	$	365,000

Required: Calculate Parker Plastics variable overhead rate and efficiency variances and its over- or underapplied variable overhead. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for Favorable/Overapplied and "U" for Unfavorable/Underapplied.)