Humphrey Manufacturing Has the Following Standards for Its Production Department

Humphrey Manufacturing has the following standards for its production department: $\begin{array}{c}\begin{array}{lll}\\\\ \text { Materials}\\ \text { Direct labor }\\ \text { Variable overhead }\\ \text { Fixed overhead }\\ \text { Total cost per lot}\end{array}\begin{array}{lll}\\\\ \text {10 pounds at \$ 2.40 / 1b}\\ \text {0.5 hour at\$ 16.00 / hr }\\ \text {0.5 hour at \$ 24.00 / hr }\\ \text {0.5 hour at\$ 43.20 / hr} \\\\\end{array}\begin{array}{lll} \text {Per finished}\\ \text {lot of product}\\\$ 24.00 \\8.00 \\12.00 \\\underline{21.60} \\\underline{\$ 65.60} \\\end{array}\end{array}$
Overhead is assigned to products based on standard direct labor hours.Humphrey budgeted 10,000 finished lots for the period,9,810 were actually produced.Actual overhead was $340,000 and actual direct labor hours were 3,950.What is Humphrey's overhead spending variance?

A) $4,000 favorable
B) $4,000 unfavorable
C) $22,920 favorable
D) $29,200 unfavorable
E) $33,304 favorable