Using the Standard Costs of $5 Per Pound for a 10

Multiple Choice

Using the standard costs of $5 per pound for a 10 pound bag of chocolate and the following actual cost and usage data,compute the direct materials variance.
$\begin{array}{ll}\text { Direct materials purchased and used } & 99,000 \text { pounds } \\\text { Price paid for direct materials } & \$ 4.00 \text { per pound } \\\text { Number of good units produced } & 9,000 \text { units }\end{array}$

A) $45,000 (F)
B) $45,000 (U)
C) $54,000 (F)
D) $99,000 (F)