Mountain Sports Equipment Company Projected Sales of 78,000 Units at a Unit

Mountain Sports Equipment Company projected sales of 78,000 units at a unit sale price of $12 for the year 2015.Actual sales of 2015 were 75,000 units at $14 per unit.Variable costs were budgeted at $3 per unit and the actual amount was $4 per unit.Budgeted fixed costs totaled $375,000,while actual fixed costs amounted to $400,000.What is the flexible budget variance for variable expenses?

A) $78,000 unfavorable
B) $75,000 unfavorable
C) $75,000 favorable
D) $78,000 favorable