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Majer Corporation makes a product with the following standard costs: ...

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Accounting

Majer Corporation makes a product with the following standard costs:

Standard Quantity or Hours Standard Price or Rate Standard Cost Per Unit
Direct materials 6.8 ounces $ 3.00 per ounce $ 20.40
Direct labor 0.4 hours $ 15.00 per hour $ 6.00
Variable overhead 0.4 hours $ 3.00 per hour $ 1.20

The company reported the following results concerning this product in February.

Originally budgeted output 5,400 units
Actual output 8,200 units
Raw materials used in production 30,500 ounces
Actual direct labor-hours 1,950 hours
Purchases of raw materials 32,900 ounces
Actual price of raw materials $ 62.90 per ounce
Actual direct labor rate $ 72.40 per hour
Actual variable overhead rate $ 4.50 per hour

The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.

The variable overhead efficiency variance for February is:

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