During June, Propene Company produced 20,000 chainsaw blades. The standard quantity of material allowed per unit was 2 pounds of steel per blade at a standard cost of $4 per pound. The actual purchase price was $5 per pound. Propene determined that it had a favorable materials usage variance of $2,000 for June. What is the journal entry to record the issuance and usage of materials?

A.debit Work in Process, 120,000

debit Materials Usage Variance, 2,000

credit Materials, 120,000

b.debit Work in Process, 160,000

credit Materials Usage Variance, 2,000

credit Materials, 158,000

c.debit Work in Process, 130,000

credit Materials Usage Variance, 2,000

credit Materials, 130,000

d.debit Work in Process, 120,500

debit Materials Usage Variance, 2,000

credit Materials, 100,000