Total production of 1,000 units of finished goods required 3,000 actual parts at $2.25 per part. The standard is 2.9 parts per unit of finished goods, at a standard price of $2.30 per part. Which of the following statements is true?
A. The materials price variance is $150 favorable.
B. The materials price variance is $145 unfavorable.
C. The materials quantity variance is $225 favorable.
D. The materials quantity variance is $225 unfavorable.
E. None of these.