QUESTION 1 50 marks Life Learning Ltd is producing and selling small magnetic white boards for kids in NSW. For May 2019, Life Learning Ltd had the cost data follows: Standard per unit board Direct materials 2 kilograms of direct material at $10.20 per kilogram Direct labour 0.5 hour of direct labour hour at $16.00 per hour (a) At the end of May 2019 the actual performance indicating the following: Actual production: 1 850 units Direct materials purchased and used 3 850 kilograms at purchase price of $10.50 per kilogram Direct labour costs $16 150 with actual hours used 950 hours Required (show your workings): Calculate the favourable or unfavourable flexible budget variance for direct materials (5 marks) (b) Calculate the favourable or unfavourable price variance for direct materials (5 marks) Calculate the favourable or unfavourable efficiency variance for direct materials (5 marks) (d) Give a plausible explanation for the variance that occurred for direct materials (10 marks) (e) Calculate the favourable or unfavourable flexible budget variance for direct labour (5 marks) (f) Calculate favourable or unfavourable price variance for direct labour (5 marks) (8) Calculate the favourable or unfavourable efficiency variance for direct labour (5 marks) (h) Give a plausible explanation for the variance that occurred for direct labour (10 marks) (c) Q1 ANSWER HERE