Whitley Company makes a product that is expected to use 1.2 pounds of material per unit of product. The material has a standard cost of $2 per pound.

Whitley Company actually used 1.25 pounds of material per unit of product made in January 2015. The actual cost of material was $1.95 per pound.

Based on this information, the materials variances for January 2015 production would be: (Circle or highlight one) [4 points]

U=unfavorable; F= favorable

A) U for price and U for usage

B) U for price and F for usage

C) F for price and U for usage

D) F for price and F for usage