Pardoe, Inc., manufactures a single product in which variable manufacturing overhead is assigned on the basis of standard direct labor-hours. The company uses a standard cost system and has established the following standards for one unit of product:

	Standard Quantity	Standard Price or Rate	Standard Cost
Direct materials	1.5 pounds	$3.00 per pound	$4.50
Direct labor	0.6 hours	$6.00 per hour	$3.60
Variable manufacturing overhead	0.6 hours	$1.25 per hour	$0.75

During March, the following activity was recorded by the company:

The company produced 3,000 units during the month. A total of 8,000 pounds of material were purchased at a cost of $23,000. There was no beginning inventory of materials on hand to start the month; at the end of the month, 2,000 pounds of material remained in the warehouse. During March, 1,600 direct labor-hours were worked at a rate of $6.50 per hour. Variable manufacturing overhead costs during March totaled $1,800.

The direct materials purchases variance is computed when the materials are purchased.

The variable overhead efficiency variance for March is: A) $250 U B) $250 F C) $1,050 U D) $1,050 F