9.

Zinkyl Corporation produces high-quality leather boots. The company has a standard cost system and has set the following standards for materials and labor:

Leather (10 strips @ $20)	$200
Direct labor (10 hours @ $10)	$100
Total prime cost	$300

During the year, Zinkyl produced 100 boots. Actual leather purchased was 1,500 strips, at $12 per strip. There were no beginning or ending inventories of leather. Actual direct labor was 1,000 hours at $10 per hour. Compute the materials price variance.

a.$12,000 F

b.$16,800 U

c.$7,300 U

d.$6,000 F