You are given the following information for ABC company which produces and sells tables:                                              Standard Inputs Expected                  Standard Price Expected                                                 For Each Unit of Output                                 Per Unit of Input Direct Materials                                            10 pounds                                        $4 per pound Direct Labor                                                         3 hours                                         $16 per hour Production of 200 tables was expected in July, but 220 tables were actually completed

You are given the following information for ABC company which produces and sells tables:

                                             Standard Inputs Expected                  Standard Price Expected

                                                For Each Unit of Output                                 Per Unit of Input

Direct Materials                                            10 pounds                                        $4 per pound

Direct Labor                                                         3 hours                                         $16 per hour

Production of 200 tables was expected in July, but 220 tables were actually completed. Direct materials purchased and used were 2,000 pounds at an actual price of $4.40 per pound. Direct labor cost for the month was $10,620, and the actual pay per hour was $18.00. What is the direct material quantity variance for July?

Select one:

a.
$880 Favorable

b.
$800 Favorable

c.
$880 Unfavorable

d.
$800 Unfavorable