Alpha Ltd are manufacturers of automotive components. During the year to date an extract of their management accounts shows: Actual Sales 242,000 Budget Sales 200,000 Actual Materials Cost 125,000 Budget Materials Cost 120,000 Additionally, you are told that the components were budgeted to use 4kgs of materials per batch at a budget cost of 50 per kg. Actual materials usage is 5kgs per batch. Actual Materials Cost includes an unbudgeted 7,000 rebate received from a supplier to compensate for a faulty batch of materials used in the prior year. Actual Sales price was 10% above the budgeted sales price. What would be the materials rate variance if applying a flexible budget approach? 0 18,000,000 favourable 33,000,000 favourable 40,000,000 favourable 47,000,000 favourable