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Question(s) / Instruction(s):

Regal Dog Food Company’s standard quantity of direct materials is 50 pounds for each bag of premium dog food that it manufactures; the standard price is $0.50 per pound. During the most recent month, Regal manufactured 1,000 bags of premium dog food; 54,000 pounds of direct materials were actually used at a cost of $29,160. How much was the direct materials price variance?

A.            $2,000 unfavorable

B.            $2,000 favorable

C.            $2,160 favorable

D.            $2,160 unfavorable

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