Tharaldson Corporation makes a product with the following standard costs: The company reported the following results concerning this product in June.
The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.The materials price variance for June is:

A) $2,140 Unfavorable
B) $2,140 Favorable
C) $1,820 Unfavorable
D) $1,820 Favorable

To calculate the materials price variance, we need to compare the actual price paid for the materials to the standard price. The actual quantity purchased is not given in the information provided, so we cannot compute the exact materials price variance. However, we do know that the materials cost was $36,080, which is $2,140 less than the total standard cost of $38,220. This means that the actual price paid for the materials was less than the standard price, resulting in a favorable materials price variance.