Machine Builders Inc. adopted a standard cost system several years ago that it uses in conjunction with its process cost system. The per-unit standard costs for direct materials and direct labor for its single product are as follows: Materials: (4.0 kilograms x $10.00 per kilogram) $40.00 Labor: (4.0 hours * $18.00 per hour) $72.00 All materials are issued at the beginning of processing. The operating data shown below were taken from the records for July: none In-process beginning inventory In-process ending inventory90% complete as to labor Units completed during the month Budgeted output Purchases of materials, in kilograms (AQ) Total actual labor costs incurred Direct labor hours worked (AQ) Materials purchase-price variance Increase in materials inventory in July Beginning inventory of materials 1,000 units 7,200 units 8,000 units 30,000 $525,000 28,000 hours $ 3,000 unfavorable 1,500 kilograms 0 kg. The actual direct materials purchase price (AP) per kilogram in July (to two decimal places) was: $10.10. $9.90. $10.00. $11.80. $8.80