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The direct materials price variance is a. $22,800 favorable b. $22,800 unfavorable c. $52,000 favorable d. $52,000 unfavorable

The following data are given for Stringer Company: Budgeted production Actual production Materials: Standard price per ounce Standard ounces per completed unit Actual ounces purchased and used in production Actual price paid for materials Labor: Standard hourly labor rate Standard hours allowed per completed unit Actual labor hours worked Actual total labor costs Overhead: Actual and budgeted fixed overhead Standard variable overhead rate Actual variable overhead costs Overhead is applied on standard labor hours. The direct materials price variance is S22.800 favorable S22 ,800 untivorable SS2,000 tuvorable S52.OOO unfavorable 26,000 units 27,500 units $6.50 8 228,000 $22 per hour 6.6 183,000 $4,020,000 $24.50 per standard labor hour