Question 2 (30 marks) Delina Sdn. Bhd. Standard Cost Sheet Subtotal Total 25/g 100 40 200 60 Items Quantity Cost Rate (RM) Direct Materials: Aluminum 4 grams PVC 1 gram 40/8 Direct labor 5 hours 40/ hour Variable Overhead 5 hours 12/ hour Total variable manufacturing cost Fixed factory overhead 5 hours 24/hour Standard manufacturing cost per unit *Budgeted fixed factory overhead cost = RM120,000 400 120 120 520 In a given month, the company used 3,525 pounds of aluminum to manufacture 945 units. The company paid RM28.90 per gram during the month to purchase aluminum. At the beginning of the month, the company had 65 grams of aluminum on hand. At the end of the month, the company had only 40 grams of aluminum in its warehouse. Delina used 5,300 direct labor hours during the month, at an average cost of RM41.90 per hour. Required: Compute for the month the following variances: 1. The material price variance for aluminum. Indicate whether this variance is favorable (F) or unfavorable (U). Provide a reason for each of the variances above. (6 marks) 2. The usage variance for aluminum. Indicate whether this variance is favorable (F) or unfavorable (U). Provide a reason for each of the variances above. (6 marks) 3. The direct labor rate variance. Indicate whether this variance is favorable (F) or unfavorable (U). Provide a reason for each of the variances above. (6 marks) 4. The direct labor efficiency variance. Indicate whether this variance is favorable (F) or unfavorable (U). Provide a reason for each of the variances above. (6 marks)