QUESTION 6 Bright Ltd manufactures one product, the Spark. The following budgeted figures applied to the Spark for April: Sales 11,000 units at 1100 Direct materials per unite 8kg @ 4 per kg Direct labour per unit 5 hours @ 8 per hour Fixed Overheads 375,000 T.T.T.T. In April, production and sales was 10,000 units, and the actual data for the month was: Sales Revenue = 1,020,000 Direct materials used = 83,000 kg, costing 330,800 Direct labour hours worked = 49,700, costing 401,600+ Fixed Overheads = 360,000- No stocks (inventories) of any description existed at the beginning or end of the month. e Required: A) Calculate the budgeted results for April. 2 marks B) Calculate variances to show the differences between standard and actual performance. 13 marks C) Prepare a statement reconciling the actual result for April to the budgeted results for April. 6 marks D) Prepare a report for the Managing Director explaining the two main causes of the difference from budgeted profit, and what might be done in future to improve these two factors. 4 marks Total = 25 marks