25.

Solly Corporation produces a product for national distribution. Standards for the product are:

• Materials: 12 ounces per unit at 60 per ounce.
• Labor: 2 hours per unit at $8 per hour.

During the month of December, the company produced 1,000 units. Information for the month follows:

• Materials: 14,000 ounces purchased and used at a total cost of $7,700.
• Labor: 2,500 hours worked at a total cost of $20,625.

The materials quantity variance is:

(Multiple Choice)

• $1,200 F

• $1,100 U

• $1,100 F

• $1,200 U