23

Oxford Co. has a materials standard of 2.1 pounds per unit of output. Each pound has a standard price of $14 per pound. During February, Oxford Co. paid $58,100 for 4,850 pounds, which were used to produce 2,410 units. What is the direct materials price variance?

Multiple Choice

• $10,360 unfavorable

• $10,360 favorable

• $9,800 unfavorable

• $9,800 favorable