Information on Fleming Company's direct material costs follows:

Actual amount of direct materials used	20,000	grams
Actual direct material costs	$40,000
Standard price of direct materials	$1.90	per gram
Direct material quantity variance--favourable	$5,000

What was the company's direct material price variance?

Question 9 options:

	$2,000 favourable.
	$3,000 favourable.
	$2,000 unfavourable.
	$3,000 unfavourable.