The Standard Costs and Actual Costs for Direct Materials for the Manufacture

Multiple Choice

The standard costs and actual costs for direct materials for the manufacture of 3,000 actual units of product are Standard Costs
Direct materials per completed unit) 1,040 kilograms at $8.75
Actual Costs
Direct materials
2,000 kilograms at $8.00
The amount of direct materials price variance is

A) $2,750 unfavorable variance
B) $2,750 favorable variance
C) $1,500 favorable variance
D) $1,500 unfavorable variance