Rossi Inc. has a materials price standard of $$2\mathrm{.}00$ per pound. Six thousand pounds of materials were purchased at $$2\mathrm{.}20$ a pound. The actual quantity of materials used was $6,000$ pounds, although the standard quantity allowed for the output was $5,400$ pounds.

Rossi Inc.$\text{'}$s materials quantity variance is

$$1,320$ favorable.

$$1,200$ unfavorable.

$$1,320$ unfavorable.

$$1,200$ favorable.