Cost standards for one unit of product no. C77: Direct material 3 pounds at $2.40 per pound $ 7.20 Direct labor 7 hours at $7.20 per hour 50.40 Actual results: Units produced 5,800 units Direct material purchased 26,700 pounds at $2.60 $ 69,420 Direct material used 17,100 pounds at $2.60 44,460 Direct labor 41,200 hours at $7.00 288,400 Use the information to compute the following variances. The direct-material quantity variance is: Multiple Choice $720 F. $720 U. $22,320 U. $22,320 F. None of the answers is correct.