The Kalispell Company is a maker of gourmet coffee. Kalispell is trying to determine what its Variable Overhead Efficiency Variance is to determine if the variance is favorable or unfavorable. Kalispell Company allocates its overhead costs on a per labor hour rate. The standards it uses are 0.3 direct labor hours per pound of coffee it produces at a standard variable overhead rate of $2.75 per direct labor hour. This month Kalispell produced 16,000 lbs. of coffee using 4,320 direct labor hours at a total variable overhead cost of $11,232. What is Kalispell's Variable Overhead Efficiency Variance, and is it favorable or unfavorable? 

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