Turn to Stone, Inc. manufactures statues of pop culture icons. All statues are the same size and require the same amount of resources. At the beginning of the year, the following standards were set:

standard direct material cost . . .	$80 per statue
standard material input ratio . . .	10 pounds per statue

During the year, 4,800 statues were produced, using 48,240 pounds of material that were purchased during the year at a total cost of $385,920.

By how much did the actual direct material cost per statue differ from expected direct material cost per statue?

A.

The actual cost per unit was $0.40 higher than the expected cost per unit.

B.

The actual cost per unit was $0.05 lower than the expected cost per unit.

C.

The actual cost per unit equalled the expected cost per unit.

D.

The actual cost per unit was $0.05 higher than the expected cost per unit.

E.

The actual cost per unit was $0.03 lower than the expected cost per unit.