Match Point, Inc. has the following overhead standards: Variable overhead: 5 hours at $6 per hour Fixed overhead: 5 hours at $8 per hour The standards were based on a planned activity of 22,000 machine hours when 4,400 units were scheduled for production. Actual data follow. Variable overhead incurred: $143,750 Fixed overhead incurred: $219,000 Machine hours worked: 21,800 Actual units produced: 4,500 Match Points variable-overhead efficiency variance is:

Multiple Choice

a.) $640 favorable.

b.) $640 unfavorable.

c.) $4,200 favorable.

d.) $4,200 unfavorable.

e.) None of the answers is correct.