Planned: Production 22,000 units Standards 100 lbs. @ $2.50/lb. = $250/unit Direct Labor 2 hrs/unit * $10/hour = $20/unit Variable Overhead $2.50/direct labor hour = $5/unit Fixed Overhead $698,500 Actual: Production 24,000 units Material used 2,640,000 lbs @ $2.40/lb Direct Labor 49,000 hours total $465,500 Variable Overhead $128,000 Fixed Overhead $750,000 What is the Materials Usage Variance?

	a.	$600,000 U
	b.	$600,000 F
	c.	$264,000 U
	d.	$264,000 F