The KC Company has established standards as follows: Direct Material 3kgs @ $9/kg = $27 per unit Direct Labour 2hr. @ $14.25/hour = $28.50 per unit Variable Manufacturing Overhead 2hr @ $1.75/hour = $3.5 per unit Actual production figures for the past year are given below. The company records the materials price variance when materials are purchased. Units Produced 1.450 Direct Material Used 5,000 kg Direct Materials Purchased (5000kg) $37,500 Direct Labour Cost (2500 hrs) $36.250 Variable Manufacturing Overhead Cost Incurred $4,950 The company applies variable manufacturing overhead to products on the basis of direct labour hours. What was the materials quantity variance? O A. $5,850 Favourable OB. $6,050 Favourable OC. $5,850 Unfavourable OD. $6,050 Unfavourable