Steep Enterprises machines heavy-duty brake rotors that are used on commercial airliners. Steep's management developed the following standard costs: Standard direct labor hours per rotor Standard overhead rate per direct labor hour $9.25 Actual activity for October: Actual overhead costs incurred $130,800 Actual direct labor hours 10,900 Actual rotors machined 3800 What is the variable manufacturing overhead rate variance in October? $29,975 favorable $29,975 unfavorable $37,555 unfavorable $37,555 favorable