Benny Company Budgeted 610 Pounds of Direct Materials Costing $18

Multiple Choice

Benny Company budgeted 610 pounds of direct materials costing $18.00 per pound to make 8000 units of product. The company actually used 650 pounds of direct materials costing $30.00 per pound to make the 8000 units. What is the direct materials quantity variance?

A) $1200 favorable
B) $720 favorable
C) $1200 unfavorable
D) $720 unfavorable