cole laboratories makes and sells a lawn fertilizer called fastgro the company has d 492307

Cole Laboratories makes and sells a lawn fertilizer called Fastgro. The company has developed standard costs for one bag of Fastgro as follows:

The company had no beginning inventories of any kind on January 1. Variable overhead is applied to production on the basis of standard direct-labor hours. During January, the company recorded the following activity:

– Production of Fastgro: 4,000 bags

– Direct materials purchased: 85,000 pounds at a cost of $32,300

– Direct-labor worked: 390 hours at a cost of $4,875

– Variable overhead incurred: $1,475

– Inventory of direct materials on January 31: 3,000 pounds

The materials price variance for January is