Homemakers Ltd uses two kinds of material to make the kitchen cupboards, hardwood and plywood. The standard information for one unit of the material is as follows:

Hardwood	30 sq. ft at $4 per sq. ft.	$120
Plywood	60 sq. ft at $6 per sq. ft	$360
		$480

In a particular period, 160 units of the cupboards were produced, using 3,000 sq. ft of hardwood and 4,380 sq. ft of plywood.

Required:

a) Calculate the material usage, mix and yield variances for each material. (11 marks)

b) Identify three standards and explain the impact they each have on employee behavior. (6 marks)