Cold Products Corporation Manufactured 32,000 Ice Chests During September What Is the Variable Overhead Spending Variance?
A)$3,040 Favorable
B)$25,658

Cold Products Corporation manufactured 32,000 ice chests during September.The variable overhead cost-allocation base is $13.45 per machine-hour.The following variable overhead data pertain to September:
$\begin{array}{lll}&\text { Actual }&\text { Budgeted } \\\text { Production } & 32,000 \text { units } & 26,000 \text { units } \\\text { Machine-hours } & 15,200 \text { hours } & 10,800 \text { hours } \\\text { Variable overhead cost per machine-hour: } & \$ 13,25 & \$ 13,45\end{array}$
What is the variable overhead spending variance?

A) $3,040 favorable
B) $25,658 unfavorable
C) $22,618 unfavorable
D) $59,180 unfavorable