Shade Company adopted a standard cost system several years ago. The standard costs for direct labor and direct materials for its single product are as follows: Materials (5 kilograms $12 per kilogram) = $60 per unit; direct labor (3.5 hours per unit * $20 per hour) = $70 per unit. All materials are issued at the beginning of processing. The operating data shown below were taken from the records for December: In-process beginning inventory In-process ending inventory-80% complete as to labor Units completed during the period Budgeted output Purchases of materials (in kilograms) Total actual direct labor cost incurred Direct labor hours worked (AQ) Materials purchase-price variance Increase in materials inventory in December None 1,160 units 7,100 units 7,800 units 50,000 $ 562,590 28,500 hours $ 12,000 favorable 6,550 kilograms The direct labor rate variance for December was: Multiple Choice $7,410 favorable. $11,470 favorable. $13.610 unfavorable. $30,230 unfavorable. $65.230 unfavorable