The following labor standards have been provided by the Rand Company:
Standard hours per unit: 2
Standard cost per hour: $12
During the most recent month Rand produced 2,000 units and used 3,900 labor hours at a cost of
$47,580. What was the labor efficiency variance for the month?
A) $1,200 unfavorable B) $1,220 unfavorable
C) $1,220 unfavorable D) $1,200 favorable