QUESTION 1 MISBAH Berhad (MB) manufactures a type of product and uses a standard costing system. Here are the standard costs for a unit of product for 2022: RM Direct materials (2.5 kg) 10.00 Direct labour (0.7 jam) 8.75 Variable overhead (0.7 jam) 4.20 Fixed overhead (0.7 jam ) 2.45 Standard costs per unit 25.40 The following are the activities and actual costs involved throughout the year; 1. Production unit for the year is 46,000 2. A total of 90,000 kilograms of raw materials were bought at RM3.97 per kilogram. 3. Total manufacturing overhead cost is RM723,000, which is RM472,000 was fixed overhead. 4. MSB has used 41,000 hours of direct labor at RM12.35/hour. 5. Beginning inventory of raw materials is 12,800 kilograms at a price RM4.00 per kilogram. Ending inventory of raw materials is 8,000 at price RM3.90 per kilogram. Normal output is 45,000 units per year. The standard overhead rate is calculated based on normal activity using the base of direct labor hours. Instructions : Calculate : (1) Price variance and Quantity Variance of Direct Materials (ii) Rate variance and Efficiency variance of Direct Labour (iii) Expenditure variance and Efficiency variance of Variable overhead QUESTION 2 CakraBina Sdn Bhd produce part of carburetor component in automotive industry. The company's factory overhead is absorbed based on direct labor hours. On January 1, 2022, the company prepared the following budget for normal production of 6,500 units of the product. Variable manufacturing overhead RM68,250 Fixed manufacturing overhead RM56,875 The standard cost of producing a unit of product is as follows: Direct material (4.5 kg @ RM4.80) RM21.60 Direct labour (3.5 hours @ RM7.30) RM25.55 Total manufacturing overhead (direct labour hour basis) RM19.25 Total cost RM66.40 Throughout the year 2022, the production department has succeeded in producing 6,200 units of products. The total production cost to produce 6,200 units of product is as follows: Direct material purchased (30,000 kg) RM150,000 Direct labour cost (21,000 hours) RM159,600 Variable manufacturing overhead RM67,200 Fixed manufacturing overhead RM75,000 Additional information Only 90% (in kilograms) of the total purchase of direct materials is used for the production process. ii. There is no beginning balance of direct materials inventory. Required: a) Direct material price variance and direct material quantity variance. b) Direct labor rate variance and direct labor efficiency variance. C) Variable manufacturing overhead expenditure variance and variable manufacturing overhead efficiency variance. d) Fixed manufacturing overhead budgeted e and fixed manufacturing overhead volume variance