1. Standard:DLH per unit2.50

1. Variable overhead per DLH$1.75
2. Fixed overhead per DLH$3.10
3. Budgeted variable overhead$21,875
4. Budgeted fixed overhead$38,750

1. Actual:Direct labor hours10,000
2. Variable overhead$26,250
3. Fixed overhead$38,000

Using the four-variance approach, what is the variable overhead efficiency variance?

1. a. $2,187.50 F
2. b .$2,187.50 U
3. c. $9,937.50 F
4. d .$2,937.50 F