Question 32 1 points Save Answer Richmond Labs manufactures a product that relleves arthritis pain. The product available in a lotion or spray, is distributed nationwide. Richmond Labs has established the following standards for costing its product: Direct materials: 2.5 ounces at 520 per ounce Direct labor: 14 hours at $12.50 per hour Variable manufacturing overhead: 1.4 hours at 350 per hour Variable manufacturing overhead is applied on the basis of standard direct labor hours. The following data are available for October . 1.750 units of compound were produced during the month There was no beginning direct materials inventory Direct materials purchased: 12.000 ounces for $225.000 The ending direct materials inventory was 2.000 ounces. Direct labor hours worked: 5.600 hours at a cost of 567.200 Variable manufacturing overhead costs incurred amounted to $11.200 Variable manufacturing overhead applied to products: 518.375 The variable overhead rate variance for October is 53.750 Favorable 51,900 Unfavorable The variable overhead rate variance for October is: $3,750 Favorable $1,900 Unfavorable $4,375 Unfavorable $1,400 Favorable