Welch Company budgeted the following cost standards for the current year: Direct materials = 1.40 kilograms per unit @ $1.50 per kilogram Direct labour = 0.75 hours per unit @ $6 per hour Actual production and costs were as follows: Units produced = 2,800 Direct materials used = 4,500 kg. Direct materials purchased = 5,000 kg. @ a cost of $5,850 Direct labour incurred = 2,000 hours at a cost of $13,000 The material price variance for materials purchased was:

a) $1,650 F

b) $870 U

c) $2,520 U

d) $780 F