Please answer the following problem:

Puvo. |nc.. 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 Price Standard Standard Quantityr or Rate Cost Direct materials T" . 10 pounds $ 0.90 per pound $ 5. 39 Direct labor 0.50 hours $46.50 per hour $23.25 Variable manufacturing overhead 0.50 hours 5 9.80 per hour 3 4.90 During March. the following activity was recorded bythe company: - The company produced 3.700 units during the month. - total of 20.700 pounds of material were purchased at a cost of 314.880. 0 There was no beginning inventory of materials on hand to start the month: at the end ofthe month. 4.920 pounds of material remained in the warehouse. 0 During March. 1.220 direct labor-hours were worked at a rate of $43.50 per hour. 0 Variable manufacturing overhead costs during March totaled $15361. The direct materials purchases variance is computed when the materials are purchased. The variable overhead rate variance for March is: The variable overhead rate variance for March is: Multiple Choice O $3.405 F O $4.037 U O $4.037 F O $3,405 U