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: $23,500 Actual machine-hours worked: 2,000 hours Variable overhead rate variance: $4,020 U Total variable overhead spending variance: $5,500 U The variable overhead efficiency variance for July is:

Multiple Choice

$9,520 U

$1,480 U

$1,480 F

$9,520 F