You are given the following information for ABC company which produces and sells tables:

Standard Inputs Expected Standard Price Expected

For Each Unit of Output Per Unit of Input

Direct Materials 10 pounds $4 per pound

Direct Labor 3 hours $16 per hour

Production of 200 tables was expected in July, but 220 tables were actually completed. Direct materials purchased and used were 2,000 pounds at an actual price of $4.40 per pound. Direct labor cost for the month was $10,620, and the actual pay per hour was $18.00. What is the direct material quantity variance for July?

Select one:

a. $880 Favorable

b. $800 Favorable

c. $880 Unfavorable

d. $800 Unfavorable