Question: The following data is given for the Stringer Company: Budgeted production 912 units Actual production 1,097 units Materials: Standard price per ounce $1.95 Standard ounces

The following data is given for the Stringer Company:

Budgeted production 912 units
Actual production 1,097 units
Materials:
Standard price per ounce $1.95
Standard ounces per completed unit 10
Actual ounces purchased and used in production 11,299
Actual price paid for materials $23,163
Labor:
Standard hourly labor rate $14.19 per hour
Standard hours allowed per completed unit 4.2
Actual labor hours worked 5,649.55
Actual total labor costs $86,156
Overhead:
Actual and budgeted fixed overhead $1,081,000
Standard variable overhead rate $27.00 per standard labor hour
Actual variable overhead costs $158,187
Overhead is applied on standard labor hours.

Round your final answer to the nearest dollar. Do not round interim calculations.

The direct materials price variance is

a. $2,824.75 unfavorable

b. $2,824.75 favorable

c. $1,129.9 favorable

d. $1,129.9 unfavorable

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