Q.4 (Ch11) In producing 30,000 units of product ZZ during this period, 14,000 direct labor hours were used at a rate of $20.20 per hour. The standard labor quantity to use to produce an output unit was 0.5 hour, [with the computed total standard hours allowance [SHA] of 15,000 hours], and the standard rate to pay $20.00 per hour. Based on these data, the direct labor price [or rate] variance was:

Select one:

a. $2,800 unfavorable.

b. $17,200 favorable.

c. 1,000 favorable.

d. $20,000 favorable.