The Maxit Corporation has a standard costing system in which variable manufacturing overhead is assigned to production on the basis of standard machine-hours. The following data are available for July:

Actual variable manufacturing overhead cost incurred: $26,800

Actual machine-hours worked: 3,500 hours

Variable overhead rate variance: $6,270 U

Total variable overhead spending variance: $8,800 U

The variable overhead efficiency variance for July is:

Multiple Choice

$15,070 U

$2,530 U

$2,530 F

$15,070 F