Bacon and Higgs Limited set a monthly direct labou...

Bacon and Higgs Limited set a monthly direct labour budget for their single product as follows. Budgeted production 270 units Direct labour hours 810 Wages cost $4,050 During the year it was realised that due to certain planning errors, the original standard cost was unrealistic and was not useful for cost control. Accordingly, the standard was revised for variance analysis purposes to: Four direct labour hours at $4 per hour = $16 per unit produced Actual results for August were: Production 300 units Direct labour hours 1,140 Wages cost $5,586 What is the total operational variance for August？

A、$114 Favourable

B、$186 Adverse

C、$156 Adverse

D、$786 Adverse