Assume the following information appears in the standard cost card for a company that makes only one product:

	Standard Quantity or Hours		Standard Price or Rate		Standard Cost
Direct materials	5	pounds	$ 10.90	per pound	$ 54.50
Direct labor	2	hours	$ 17.00	per hour	$ 34.00
Variable manufacturing overhead	2	hours	$ 3.00	per hour	$ 6.00

During the most recent period, the following additional information was available:

20,000 pounds of material was purchased at a cost of $10.50 per pound.

All of the material that was purchased was used to produce 3,900 units.

8,000 direct labor-hours were recorded at a total cost of $132,000.

What is the direct materials quantity variance?

Multiple Choice

$5,450 U

$5,450 F

$5,250 U

$5,250 F