The Fime Corporation uses a standard costing system. The following data have been assembled for December:

Actual direct labor-hours worked		5,300	hours
Standard direct labor rate	$	8	per hour
Labor efficiency variance	$	3,200	Unfavorable

The standard hours allowed for Decembers production is:

Multiple Choice

• 4,500 hours

• 4,900 hours

• 5,300 hours

• 5,700 hours