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

Direct labor standard (4 hrs. @ $6.90/hr.)	$	27.60	per unit
Actual hours worked		12,450
Actual rate per hour	$	7.30

Multiple Choice

a. $4,980 unfavorable.

b. $5,600 unfavorable.

c. $5,600 favorable.

d. $10,695 favorable.

e. $4,980 favorable.