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Michael Corporation manufactures railroad cars, which is its only product. The standards for the railroad cars are as follows: Standard tons of direct material (steel)

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Michael Corporation manufactures railroad cars, which is its only product. The standards for the railroad cars are as follows: Standard tons of direct material (steel) per car 4 Standard cost per ton of steel $ 17.00 During the month of March, the company produced 1,650 cars. Related production data for the month follows: Actual materials purchased and used (tons) 6,650 Actual direct materials total cost $ 115,000 What is the direct materials price variance for the month? OA. $ 850 favorable OB. $1,950 unfavorable OC. $1,950 favorable D. $ 850 unfavorable

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