Direct Materials Variances Bellingham Company produces a product that requires seven standard pounds per unit. The standard price is $11 per pound. If 5,100 units used 35,000 pounds, which were purchased at $11.22 per pound, what is the direct materials (a) price variance, (b) quantity variance, and (c) cost variance? Enter a favorable variance as a negativ number using a minus sign and an unfavorable variance as a positive number. a. Direct materials price variance Unfavorable b. Direct materials quantity variance Favorable c. Direct materials cost variance $ Favorable Feedback Check My Work Unfavorable variances can be thought of as increasing costs (a debit). Favorable variances can be thought of as decreasing costs (a credit). Cost variance is the difference between the actual and standard total cost. Learning Objective 3