The standard materials cost to produce 1 unit of Product R is 8 pounds of material at a standard price of $60 per pound. In manufacturing 6,300 units, 47,900 pounds of material were used at a cost of $62 per pound. What is the direct materials price variance?

Multiple Choice

• $95,800 unfavorable.

• $95,800 favorable.

• $150,000 unfavorable.

• $150,000 favorable.

• $54,200 favorable.