Use the following to answer questions 3-4:

Cost standards for product no. C77:
Direct material	3 pounds at $2.50 per pound	$ 7.50
Direct labor	5 hours at $7.50 per hour	37.50
Actual results:
Units produced	7,800 units
Direct material purchased	26,000 pounds at $2.70	$ 70,200
Direct material used	23,100 pounds at $2.70	62,370
Direct labor	40,100 hours at $7.30	292,730

3. The direct-material quantity variance is:

A. $750F.

B. $750U.

C. $6,500U.

D. $7,250U.

E. none of the above.

4. The direct-material price variance is:

A. $4,620F.

B. $4,620U.

C. $5,200F.

D. $5,200U.

E. none of the above.