Ravena Labs: Incorporated makes a single product which has the following standards: Direct materials: 2.5 ounces at $20 per ounce Direct labon: 1.4 hours at $12.50 per hour Variable manufacturing overhead: 1.4 hours at 3.50 per hour Variable manufacturing overhead is applied on the basis of standard direct labor-hours. The following data are available for October: - 3,750 units of compound were produced during the month. - There was no beginning direct materials inventory. - Direct materials purchased: 12,000 ounces for $225,000. - The ending direct materials inventory was 2.000 ounces. - Direct labor-hours worked: 5,600 hours at a cost or $67,200. - Variable manufacturing overhead costs incurred amounted to $18,200. - Variable manufocturing overhead applied to products: $18,375. The materials quantity variance for October is: The materials quantity variance for October is: Multiple Choice $12,500 Favorable $52,500 Unfavorable $12,500 Unfavorable $52,500 Favorable