Tharaldson Corporation makes a product with the following standard costs:

	Standard Quantity or Hours			Standard Price or Rate			Standard Cost Per Unit
Direct materials		5.4	ounces	$	3.00	per ounce	$	16.20
Direct labor		0.5	hours	$	12.00	per hour	$	6.00
Variable overhead		0.5	hours	$	9.00	per hour	$	4.50

The company reported the following results concerning this product in June.

Originally budgeted output		4,200	units
Actual output		4,200	units
Raw materials used in production		20,000	ounces
Purchases of raw materials		21,000	ounces
Actual direct labor-hours		560	hours
Actual cost of raw materials purchases	$	42,900
Actual direct labor cost	$	14,200
Actual variable overhead cost	$	4,100

The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.

The variable overhead efficiency variance for June is:

Tharaldson Corporation makes a product with the following standard costs: Standard Quantity or Hours 5.4 ounces 0.5 hours 0.5 hours Standard Standard Price or Cost Per Rate Unit $ 3.00 per ounce $16.20 $12.00 per hour $ 6.00 $ 9.00 per hour $ 4.50 Direct materials Direct labor Variable overhead The company reported the following results concerning this product in June. Originally budgeted output Actual output Raw materials used in production Purchases of raw materials Actual direct labor-hours Actual cost of raw materials purchases Actual direct labor cost Actual variable overhead cost 4,200 units 4,200 units 20,000 ounces 21,000 ounces 560 hours $ 42,900 $ 14,200 $ 4,100 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The variable overhead efficiency variance for June is: Multiple Choice o $14,630 o $13,860 U o $14,630 U o $13,860 E