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The following data is given for the Stringer Company: Budgeted production 925 units Actual production 1,057 units Materials: Standard price per ounce $1.89 Standard ounces

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The following data is given for the Stringer Company: Budgeted production 925 units Actual production 1,057 units Materials: Standard price per ounce $1.89 Standard ounces per completed unit 12 Actual ounces purchased and used in production 13,065 Actual price paid for materials $26,783 Labor: Standard hourly labor rate $14.82 per hour Standard hours allowed per completed unit 4.8 Actual labor hours worked 5,443.55 Actual total labor costs $83,014 Overhead: Actual and budgeted fixed overhead $1,140,000 Standard variable overhead rate $25.00 per standard labor hour Actual variable overhead costs $152,419 Overhead is applied on standard labor hours. The direct materials quantity variance is a. 2,090.15 favorable Materials: Standard price per ounce $1.89 Standard ounces per completed unit 12 Actual ounces purchased and used in production 13,065 Actual price paid for materials $26,783 Labor: Standard hourly labor rate $14.82 per hour Standard hours allowed per completed unit 4.8 Actual labor hours worked 5,443.55 Actual total labor costs $83,014 Overhead: Actual and budgeted fixed overhead Standard variable overhead rate $1,140,000 $25.00 per standard labor hour $152,419 Actual variable overhead costs Overhead is applied on standard labor hours. The direct materials quantity variance is Ca. 2,090.15 favorable Ob. 2,090.15 unfavorable c. 720.09 unfavorable d. 720.09 favorable

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