Majer Corporation makes a product with the following standard costs:

	Standard Quantity or Hours			Standard Price or Rate			Standard Cost Per Unit
Direct materials		3.0	ounces	$	6.50	per ounce	$	19.50
Direct labor		0.7	hours	$	12.50	per hour	$	8.75
Variable overhead		0.7	hours	$	5.00	per hour	$	3.50

The company reported the following results concerning this product in February.

Originally budgeted output		6,800	units
Actual output		6,600	units
Raw materials used in production		19,720	ounces
Actual direct labor-hours		4,820	hours
Purchases of raw materials		21,320	ounces
Actual price of raw materials	$	6.25	per ounce
Actual direct labor rate	$	12.75	per hour
Actual variable overhead rate	$	5.00	per hour

The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.

The materials price variance for February is:

Multiple Choice

• $5,450 F

• $5,450 U

• $5,330 F

• $5,330 U