The following labour standards have been established for a product:

Standard labour hours per unit of output 7.5hours Standard labour rate $15.25per hour

The following data pertain to operations concerning the product for the last month:

Actual hours worked 9,600hours Actual total labour cost $144,480Actual units of output 1,200

What is the labour efficiency variance for the month?

Multiple Choice

• $7,230 U.
• $7,230 F.
• $9,150 F.
• $9,150 U.