Question 5 1 pts Cincinnati Laboratories makes and sells a lawn fertilizer called Fastgro. The company has developed standard costs for one bag of Fastgro as follows: Standard Standard Cost Quantity per Bag Direct material.. 20 pounds $8.00 Direct labor. 0.1 hours $1.10 Variable overhead 0.1 hours $0.40 The company had no beginning inventories of any kind on Jan. 1. Variable overhead is applied to production on the basis of standard direct labor-hours. During January, the following activity was recorded by the company: Production of Fastgro: 4,000 bags Direct materials purchased: 85,000 pounds at a cost of $32,300 Direct labor worked: 390 hours at a cost of $4,875 Variable overhead incurred: $1,475 Inventory of direct materials on Jan. 31: 3,000 pounds The total variance (both rate and efficiency) for variable overhead for January is: $85 F $40 F $100U $125 F