Parallel Enterprises has collected the following data on one of its products. During the period the company produced 25,000 units. The direct materials price variance is: Direct materials standard (7 kg. @ $2.50/kg.) $17.50 per finished unit Actual cost of materials purchased $423,500 Actual direct materials purchased and used 160,000 kg.

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Georgia, Inc. has collected the following data on one of its products. The direct materials quantity variance is: Direct materials standard (2 lbs @ $1/lb) $ 2 per finished unit Total direct materials cost varianceunfavorable $ 20,750 Actual direct materials used 72,000 lbs Actual finished units produced 24,000 units

$24,000 unfavorable.

$20,750 unfavorable.

$20,750 favorable.

$24,000 favorable.

$3,250 favorable.