2. DM price variance (1pt): Lookaway Inc. has provided the following data concerning one of the products in its standard cost system.

Inputs	Standard Quantity or Hours per Unit of Output	Standard Price or Rate
Direct materials	6 pounds	$6 per pound

The company planned to produce 2,600 units during September and has reported the following actual results for the product for September:

Actual output		2,500	units
Raw materials purchased		13,750	pounds
Actual price of raw materials	$	5.8	per pound
Actual cost of raw materials purchased	$	79,750

Assume all of the materials purchased was used during the month.

Calculate the raw materials price variance.