Question 5 Scenario: The plant manager traded in their leased company car for a new one in July, increasing the monthly lease payment by $85. This event was not provided for in the budget.

Indicate which of the following standard cost variances would be affected. More than one variance may be affected.

a) Materials price variance.

b) Materials quantity variance.

c) Labor rate variance.

d) Labor efficiency variance.

e) Variable overhead spending (rate) variance.

f) Variable overhead efficiency variance.

g) Fixed overhead budget variance.