The standard factory overhead rate is $7.50 per machine hour ($6.20 for variable factory overhead and $1.30 for fixed factory overhead) based on 100% of normal capacity of 80,000 machine hours. The standard cost and the actual cost of factory overhead for the production of 15,000 units during August were as follows: Actual: Variable factory overhead$360,000 Fixed factory overhead104,000Standard hours allowed for units produced:60,000 hours What is the amount of the variable factory overhead controllable variance?

The standard factory overhead rate is $7.50 per machine hour ($6.20 for variable factory overhead and $1.30 for fixed factory overhead) based on 100% of normal capacity of 80,000 machine hours. The standard cost and the actual cost of factory overhead for the production of 15,000 units during August were as follows: Actual: Variable factory overhead$360,000 Fixed factory overhead104,000Standard hours allowed for units produced:60,000 hours What is the amount of the variable factory overhead controllable variance?

a.$12,000 unfavorable

b.$26,000 unfavorable

c.$14,000 unfavorable

d.$12,000 favorable