Botella Company produces plastic bottles. The unit for costing purposes is a case of 18 bottles. The following standards for producing one case of bottles have been established:

Direct materials: 4 lbs. @ $1.50 Direct labor: 1.25 hrs. @ $16.00

During December, 58,000 pounds of materials were purchased and used in production. There were 15,000 cases produced, with the following actual prime costs:

Direct materials: $89,000 Direct labor: $294,500 (at $15.50 per hour)

What are the (1) direct materials price variance and (2) direct materials quantity variance?

Group of answer choices

A. (1) $3,000 U; (2) $2,000 F

B. (1) $2,000 U; (2) $3,000 F

C. (1) $2,000 F; (2) $3,000 U

D. (1) $3,000 F; (2) $2,000 U