2. DM price variance (1pt): Luma 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	4.8 ounces	$6.90 per ounce

The company planned to produce 2,500 units during September and has reported the following actual results for the product for September:

Actual output		2,100	units
Raw materials purchased		10,500	ounces
Actual price of raw materials	$	7.80	per ounce
Actual cost of raw materials purchased	$	81,900

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

Calculate the raw materials price variance.