The standard costs and actual costs for factory overhead for the manufacture of 2,800 units of actual production are as follows:

	Standard Costs
Fixed overhead (based on 10,000 hours)	3 hours per unit at $0.72 per hour
Variable overhead	3 hours per unit at $2.07 per hour
Actual Costs
Total variable cost, $18,100
Total fixed cost, $7,900

The total factory overhead cost variance is

a.$3,016 favorable

b.$712 unfavorable

c.$1,864 favorable

d.$1,864 unfavorable