For production of laser discs, a company plans to switch suppliers. The new supplier promises lower prices, but the discs are also lower quality, meaning the firm will use more discs per unit of product than was originally budgeted. If the firm chose to buy from this supplier, what would it observe for the coming month?

A) An unfavorable direct materials quantity variance and a favorable direct materials price variance.

B) A favorable direct materials quantity variance and an unfavorable direct materials price variance

C) An unfavorable direct materials quantity variance and an unfavorable direct materials price variance

D) A favorable direct materials quantity variance and a favorable direct materials price variance