Required information [The following information applies to the questions displayed below.] Roman Mfg.'s July production involved actual direct labor costs of $47,918 for 3,800 direct labor hours. The budget for the July level of production called for 3,900 direct labor hours at $12.60 per hour, using a standard cost system. Roman's labor rate variance for July is: Multiple Choice $38 unfavorable. $1,222 unfavorable. $1,260 favorable. Roman's labor rate variance for July is: Multiple Choice $38 unfavorable. $1,222 unfavorable. $1,260 favorable. $1,222 favorable