Question: Jupiter Co. applies overhead based on direct labor hours. The variable overhead standard is 10 hours at $18 per hour. During February, Jupiter Co. spent

Jupiter Co. applies overhead based on direct labor hours. The variable overhead standard is 10 hours at $18 per hour. During February, Jupiter Co. spent $182,400 for variable overhead. 9,450 labor hours were used to produce 1,800 units. What is the variable overhead rate variance?

$12,300 unfavorable
$6,150 favorable
$12,300 favorable
$18,450 favorable

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