If the variable overhead efficiency variance is favorable then which of the following must be true.

A$.$ Actual hours is greater than standard hours.

B$.$ Actual output is greater than planned output.

C$.$ Actual output is less than planned output.

D$.$ Variable overhead is under applied.

E$.$ None of the above.

Using a standard cost system, if planned $($budgeted$)$ machine hours were $23,000$ and standard hours $($SH$)$ were $25,000$ which of the following must be true?

a$.$ Variable overhead was under$-$applied

b$.$ The spending variance is favorable

c$.$ The efficiency variance is unfavorable

d$.$ Variable overhead was over$-$applied

e$.$ None of the above.

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