Racks Company has developed the following standards for one of its products: Direct materials 12 kilograms @ $14 per kg Direct labour 3 hours @ $18 per hour Variable overhead 3 hours @ $ 8 per hour The following activities occurred during the month of October: Materials purchased 10,000 kilograms at $13.60 per kg Materials used 9,000 kilograms Units produced 800 units Direct labour 2,500 hours at $19.00 per hour Actual variable overhead $22,000 The company records materials price variances at the time of purchase. Racks Company's materials price variance would be:

a) $ 4,000 unfavourable

B) $ 4,000 favourable

C) $ 1,600 unfavourable

D) $1,600 favourable answer D

Racks Company's materials usage variance would be:

A) $ 8,400 unfavourable

B) $ 8,400 favourable answer B?

C) $ 5,600 unfavourable

D) $ 5,600 favourable

Racks Company's labor rate variance would be:

A) $ 4,300 favourable

B) $ 4,300 unfavourable

C) $ 2,500 favourable

D) $ 2,500 unfavourable answer D

if your results are different from mine please explain