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Shaw Company produced 790 units. Its overhead allocation base is DLH and its standard amount per allocation base is 8 DLH per unit. Its standard

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Shaw Company produced 790 units. Its overhead allocation base is DLH and its standard amount per allocation base is 8 DLH per unit. Its standard overhead rate is $10 per DLH. The flexible overhead budget at an activity level of 790 units shows $31,500 in variable overhead costs and $35,500 in fixed overhead costs. Compute the volume variance. (Indicate the effect of the variance by selecting favorable, unfavorable, or no variance.)

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