Question 3 Total 26 marks Zaira Ltd produces and sells unique makeup cases, and has the following standards for one type of product for May 2021: Direct materials Standard per case 2 kilograms $10 per kilogram 0.4 hour $15 per hour Direct manufacturing labour The following information relates to the actual performance during May 2021: 1. Actual output of make-up cases produced, 1,800 units 2. Direct materials purchased and used was 3,700 kilograms at a price of $9.5 per kilogram 3. Actual direct manufacturing labour costs, $11,625 4. Actual hours of direct labour used were 750 hours. Required (show your workings): (a) 6 marks (b) 6 marks (c) 6 marks Calculate the favourable or unfavourable price variance for direct materials Calculate the favourable or unfavourable efficiency variance for direct materials Calculate the favourable or unfavourable rate (price) variance for direct labour Calculate the favourable or unfavourable efficiency variance for direct labour Give a plausible explanation for the variance that occurred for direct material variances (d) 6 marks (e) 2 marks