If the calculated direct material price variance is favorable, which of the following statements would always be true?

Question 7 options:

	The standard labor rate was more than the actual labor rate paid to employees.
	The standard price was higher than the actual price paid to purchase direct materials.
	The actual direct material input ratio was lower than the standard direct material input ratio.
	The quantity of direct material used in production was less than the quantity of direct materials purchased during the period.
	None of the above is correct.