Tharaldson Corporation makes a product with the following standard costs:

29:23

Direct materials

Direct labor

Variable overhead

Standard

Standard

Quantity or Standard Price or Cost Per

Hours

Rate

Unit

7.5 ounces

$ 3.00 per ounce

0.4 hours

$19.00 per hour

$22.50

$ 7.60

0.4 hours

$ 8.00 per hour

$ 3.20

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

$

$

$

2,900 units

3,000 units

20,700 ounces

21,800 ounces

500 hours

42,300

12,900

3,450

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:

$5880 F

$5600 U

$5880 U

$5600 F