Penny Company manufactures only one product and uses a standard cost system. The following information is from Penny's records for May: Direct labor rate variance $ 17,000 favorable Direct labor time variance $27,500 unfavorable Standard hours per unit produced 2.50 Standard rate per hour $25 During May, the company used 12.50% more hours than the standard allowed. A. What were the total standard hours allowed for the units manufactured during the month? 687,500 X standard hours B. What were the actual hours worked? 8,800 X actual hours C. How many actual units were produced during May? units produced