MacBeth Fabrics Budgeted to Manufacture 1,400 Curtains in February

Multiple Choice

MacBeth Fabrics budgeted to manufacture 1,400 curtains in February. Actual output for March was 1,575 curtains with total direct materials cost of $3,400 and total direct labor cost of $5,250. The direct labor standard is 20 minutes per curtain at a direct labor rate of 17.50 per hour. The direct material standard is 0.75 yards of direct materials per curtain at a cost of $13 per pound. Actual direct labor hours were 275. A variance analysis for February would show a direct labor rate variance of

A) $2,506 favorable.
B) $2,506 unfavorable.
C) $438 favorable.
D) $438 unfavorable.