The standards for product K17 call for 5 meters of a raw material that costs $10.80 per meter. Last month, 2,600 meters of the raw material were purchased for $27,950. The actual output of the month was 410 units of product K17. A total of 2,240 meters of the raw material were used to produce this output. The direct materials purchases variance is computed when the materials are purchased.

A. What is the materials price variance for the month? Favorable or Unfavorable

B. What is the materials quantity variance for the month? Favorable or Unfavorable