Turner Company

Turner Company provided the below standard costs that were utilized to make a single unit of output. Direct materials Direct labor Manufacturing overhead 5 pounds at $1.20 per pound 0.4 hour at $10.00 per hour 0.3 hour at $5.00 per hour = $6.00 = $4.00 = $1.50 Recently, Turner Company bought and used 65,000 pounds of direct materials at $2.00 per pound to make 8,000 units of output. What is the direct materials price variance? $5,000 unfavorable $2,000 favorable 52,000 unfavorable $312,000 favorable