Formidable Company Collected the Following Information: Standard Costs Per Unit

Multiple Choice

Formidable Company collected the following information: Standard costs per unit:
Variable overhead 4 machine hours @ $6 per machine hour
Fixed overhead 4 machine hours @ $10 per machine hour
Actual output 20,000 units
Denominator (normal capacity) output 21,000 units
Actual machine hours 79,000 machine hours
Actual variable overhead cost $540,000
Actual fixed overhead cost $810,000
Using the two variance method, what is the budget variance?

A) $70,000 (U)
B) $30,000 (F)
C) $30,000 (U)
D) $70,000 (F)