Bortello Corporation produces high-quality leather boots. The company has a standard cost system and has set the following standards for materials and labor:
| Leather (12 strips @ $20) | $240 |
| Direct labor (10 hours @ $12) | $120 |
| Total prime cost | $360 |
During the year Bortello produced 125 boots. Actual leather purchased was 1,700 strip, at $16 per strip/ There were no beginning or ending inventories of leather. Actual direct labor was 1,500 hours at $15 per hour.
(a) $9,000 F and $1,200 U
(b) $6,800 F and $4,000 U
(c) $9,300 U and $1,500 F
(d) $6,800 U and $4,000 F
(b) $6,800 F and $4,000 U
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