Direct materials 5 kgs x $8 per kg

Direct labour 4 hours x $12 per hour

1,300 units produced in February with the following results:

Direct materials used 6 600 kgs costing $50,160

Direct labour 5 330 hours costing $65,026

What is the companys Labour Rate Variance?

a.

$1,560 unfavourable

b.

$1, 066 unfavourable

c.

$1,066 favourable

d.

$1,560 favourable

3. Direct materials 5 kgs x $8 per kg

Direct labour 4 hours x $12 per hour

1,300 units produced in February with the following results:

Direct materials used 6 600 kgs costing $50,160

Direct labour 5 330 hours costing $65,026

What is the companys materials usage variance?

a.

$2,640 favourable

b.

$800 favourable

c.

$800 unfavourable

d.

$2,640 unfavourable