Robert Inc. uses the standard costing method. The company's main product is a fine-quality headphones that normally takes 0.5 hour to produce. Normal annual capacity is 5,000 direct labor hours, and budgeted fixed overhead costs for the year were $8,750. During the year, the company produced and sold 5,800 units. Actual fixed overhead costs were $6,000. Using the information provided for Robert Inc, compute the fixed overhead cost variance.

	a.	$2,750 (F)
	b.	$3,675 (U)
	c.	$5,800 (U)
	d.	$925 (U)