Anopo Company produces a standard product called kuda which uses two basic materials; sugar and chlorine. The standard material cost of producing a unit of kuda is as follows:

Sugar 6 kg @ GHC4 per kg

Chlorine 10 kg @ GHC7.2 per kg

A unit of kuda weights 16 kilogrammes

During the first week of December 2014, 1000 units of kuda were produced with the following cost being incurred.

Sugar 4,000 kg @ total cost of GHC8,200

Chlorine 4,800 kg @ total cost of GHC19,200

Required

Using both the Individual Price Method and the Weighted Average Price Method, calculate the following:

a. direct material mix variance 12.5 marks

b. direct material yield variance 12.5 marks

costing question