Waterway Industries uses flexible budgets. At normal capacity of 22000 units, budgeted manufacturing overhead is: $88000 variable and $200000 fixed. If Waterway had actual overhead costs of $293200 for 24000 units produced, what is the difference between actual and budgeted costs?

$10800 unfavorable.

$2800 favorable.

$5200 unfavorable.

$13600 favorable.