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Budgeted production 943 units Actual production 1,053 units Materials: Standard price per ounce $1.75 Standard ounces per completed unit 11 Actual ounces purchased and used

Budgeted production 943 units
Actual production 1,053 units
Materials:
Standard price per ounce $1.75
Standard ounces per completed unit 11
Actual ounces purchased and used in production 11,930
Actual price paid for materials $24,456
Labor:
Standard hourly labor rate $14.27 per hour
Standard hours allowed per completed unit 4.7
Actual labor hours worked 5,422.95
Actual total labor costs $82,700
Overhead:
Actual and budgeted fixed overhead $1,159,000
Standard variable overhead rate $28.00 per standard labor hour
Actual variable overhead costs $151,843
Overhead is applied on standard labor hours.

Round your final answer to the nearest dollar. Do not round interim calculations.

The direct materials price variance is

a.$8,947.5 unfavorable

b.$8,947.5 favorable

c.$3,579 unfavorable

d.$3,579 favorable

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