Question 2 1.5 points Save Answer Miguez Corporation makes a product with the following standard costs: Standard Quantity or Hours Standard Price or Rate Standard Cost Per Unit 2.3 Direct materials liters $7.00 per liter $16.10 per hour $ 15.40 Direct labor 0.7 $22.00 hours hours Variable overhead 0.7 $ 2.00 per hour $ 1.40 The company budgeted for production of 2,600 units in September, but actual production was 2,500 units. The company used 5,440 liters of direct material and 1,680 direct labor-hours to produce this output. The company purchased 5,800 liters of the direct material at $7.20 per liter. The actual direct labor rate was $24.10 per hour and the actual variable overhead rate was $1.90 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 September is: $1,150 F O $1,160 F O $1,160 U O $1,150 U