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Raven Enterprises planned to manufacture 28,000 units of its product in April, but instead only manufactured 25,000 units. It actually used 290,000 kilograms of direct

Raven Enterprises planned to manufacture 28,000 units of its product in April, but instead only manufactured 25,000 units. It actually used 290,000 kilograms of direct materials and 41,000 direct labour hours.

During the month, the company purchased 315,000 kilograms of direct materials for $586,800, and factory wages for direct labour were $430,500.

Raven uses the following standards for one unit of product to assist in controlling its costs:

Cost Quantity Direct materials $X per kilogram 12 kilograms Direct labour $10.00 per hour X hours

The price variance for direct materials was $45,000 U. The efficiency variance for direct labour was 90,000 F.

What is the standard direct materials cost per kilogram and the standard number of direct labour hours per unit? Round your answer to the nearest cent.

a) Direct materials: $1.72; Direct labour hours: 1.79 b) Direct materials: $1.72; Direct labour hours: 2.00 c) Direct materials: $1.87; Direct labour hours: 1.79 d) Direct materials: $1.87; Direct labour hours: 2.00

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