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Jackson Industries has collected the following data for one of its products: Direct materials standard (6 pounds per unit @ $0.55/lb.) $3.30 per finished good

Jackson Industries has collected the following data for one of its products:

Direct materials standard (6 pounds per unit @ $0.55/lb.)

$3.30 per finished good

Actual direct materials purchased

$38,000 pounds

Actual Direct Materials Used (AQU)

35,000 pounds

Actual Price (AP) paid per pound

$0.60

How much is the direct materials price variance?

A.

$1,750 favorable

B.

$1,900 unfavorable

C.

$1,900 favorable

D.

$1,750 unfavorable

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