Question: Use this information for Stringer Company to answer the question that follow. The following data are given for Stringer Company: Budgeted production 940 units Actual

Use this information for Stringer Company to answer the question that follow.

The following data are given for Stringer Company:

Budgeted production 940 units
Actual production 1,023 units
Materials:
Standard price per ounce $1.89
Standard ounces per completed unit 12
Actual ounces purchased and used in production 12,644
Actual price paid for materials $25,920
Labor:
Standard hourly labor rate $14.89 per hour
Standard hours allowed per completed unit 4.5
Actual labor hours worked 5,268.45
Actual total labor costs $80,344
Overhead:
Actual and budgeted fixed overhead $1,197,000
Standard variable overhead rate $26.00 per standard labor hour
Actual variable overhead costs $147,517
Overhead is applied on standard labor hours.

The direct materials quantity variance is

a.$2,022.84 favorable

b.$2,022.84 unfavorable

c.$695.52 unfavorable

d.$695.52 favorable

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