Problem 5: Using the information in the table below, calculate the amount of the unfavorable rate variance. Then select the letter from the list below that shows the correct answer.

	Budgeted	Actual
Volume	200,000	190,000
Revenue per unit	$40	$37
Revenue	$8,000,000	$7,030,000

a) $400,000

b) $570,000

c) $970,000

d) $600,000

e) cannot calculate with given information