James Inc.'s flexible budget for June, based upon actual output, called for the use of 10,500 pounds of materials at a standard cost of $7.40 per pound. The Production Department actually used 10,700 pounds of materials costing $7.10 per pound during June.

48. James's materials price variance for June is:

A. $3,210 unfavorable.

B. $3,210 favorable.

C. $3,150 unfavorable.

D. $3,150 favorable.

49. The materials quantity variance for James's June operations is:

A. $3,150 favorable.

B. $3,210 unfavorable.

C. $1,480 unfavorable.

D. $3,210 favorable.

50. The journal entry to record the cost of direct materials used in June includes each of the following except:

A. A debit to Materials Quantity Variance of $1,480.

B. A credit to Materials Price Variance of $3,210.

C. A credit to Direct Materials Inventory of $77,700.

D. A debit to Work in Process Inventory of $77,700.