2

The standard costs and actual costs for direct materials for the manufacture of 2,690 actual units of product are as follows:

Standard Costs
Direct materials	2,690 kilograms @$8.80
Actual Costs
Direct materials	2,800 kilograms @ $8.00

The direct materials quantity variance is

a.$968 unfavorable

b.$774 favorable

c.$968 favorable

d.$774 unfavorable