Use the following data to find the direct labor efficiency variance if the company produced 3,500 units during the period.

Direct labor standard (4 hrs. @ $7.10/hr.) $28.40 per unit

Actual hours worked12,600

Actual rate per hour $7.40

• $4,200 unfavorable.
• $4,200 favorable.
• $3,780 unfavorable.
• $9,940 favorable.
• $3,780 favorable.