The standard costs and actual costs for factory overhead for the manufacture of 2,700 units of actual production are as follows:

Standard Costs
Fixed overhead (based on 10,000 hours)	3 hours per unit @ $0.73 per hour
Variable overhead	3 hours per unit @ $1.92 per hour
Actual Costs
Total variable cost, $17,900
Total fixed cost, $7,800

The total factory overhead cost variance is

a.$5,122 favorable

b.$3,735 favorable

c.$3,735 unfavorable

d.$2,348 unfavorable