A company uses standard costing and the analyses are carried out at the end of the period. The followings are the standards costs for material and labour. Material Labour 3kg @ Rs. 5 per kg = Rs. 15 per unit 2 hours @ Rs. 5 per hour = Rs. 10 per unit During the period, 4,000 units of the product were actually produced using 11,000 kg of material and 10,000 labour hours. The actual material and labour costs were Rs. 64,000 and Rs. 53.500 respectively. You are required to calculate the following variances: i- Material Price Variance ii- Material Usage Variance iii- Labour Rate Variance iv- Labour Efficiency Variance

A company uses standard costing and the analyses are carried out at the end of the period. The followings are the standards costs for material and labour. Material - 3kg @ Rs. 5 perkg = Rs. 15 per unit Labour 2 hours @ Rs. 5 per hour = Rs. 10 per unit During the period, 4,000 units of the product were actually produced using 11,000kg of materlal and 10,000 labour hours. The actual materlal and labour costs were Rs. 64,000 and Rs, 53,500 respectively. You are required to calculate the following variances: i. Material Price Variance ii. Material Usage Variance iii- Labour Rate Veriance iv- Labour Efficiency Variance