Taylor, Inc., manufactures a single product. The company uses a standard cost system and has established the following standards for one unit of product:

	Standard Quantity of inputs	Standard Price or Rate per input	Standard Cost per unit
Direct materials	1.5 pounds	$3.00 per pound	$4.50
Direct labor	0.6 hours	$6.00 per hour	$3.60

Taylor's budget for March used estimated production and sales of 2,800 units.

During March, the following activity was recorded by the company:

The company produced 3,000 units during the month.

A total of 8,000 pounds of material were purchased and used. The cost was $23,000.

During March, 1600 direct labor hours were worked at a rate of $6.50 per hour.

For all of these Taylor questions, pick the closest answer numerically and then choose based on the U or F.

What would be the volume variance for materials for March?

	a.	$900 U
	b.	$10,400 F
	c.	$9,500 U
	d.	$10,400 U
	e.	$900 F
	f.	$9,500 F