Puvo, Inc., manufactures a slngle product In whlch varlable manufacturing overhead is assigned on the basls of standard direct labor-hours. The company uses a standard cost system and has established the following standards for one unlt of product Standard Price or Standard Standard Quantity pounds Cost ? 3.48 Rate Direct materials 5.8 $ 0.60 per pound Direct labor Variable manufacturing overhead 0.5 hours 0.5 $33.50 per hour $16.75 ? 8.50 $ 4.25 hours per hour Durlng March, the following activity was recorded by the company: The company produced 2400 unlts during the month. . A total of 19.400 pounds of material were purchased at a cost of $13,580. . There was no beginning Inventory of materlals on hand to start the month; at the end of the month, 3,620 pounds of materlal remalned In the warehouse During March, 1,090 direct labor-hours were worked at a rate of $30.50 per hour. Varlable manufacturing overhead costs during March totaled $14,061. The direct materlals purchases varlance is computed when the materlals are purchased. The labor rate varlance for March Is: Multiple Choice $4,120 U $3,270 F $3,270 U $4,120 F