In August actual material used amounted to 5,650 kg, budgeted output was 1,000 units and standard material usage was 5 kg per unit. Actual output was 1,075 units. If the standard material cost of each product is 25 the material efficiency variance will be:

In August actual material used amounted to 5,650 kg, budgeted output w

1.	In August actual material used amounted to 5,650 kg, budgeted output was 1,000 units and standard material usage was 5 kg per unit. Actual output was 1,075 units. If the standard material cost of each product is 25 the material efficiency variance will be:
A.	3,250 favourable
B.	1,375 favourable
C.	3,250 adverse
D.	1,375 adverse
Answer» D. 1,375 adverse