REQUIRED

Use the information given below to calculate the following variances. In each case also state whether the variance is favourable or unfavourable.

$2\mathrm{.}2\mathrm{.}1$ Material quantity variance $(3$ marks$)$

$2\mathrm{.}2\mathrm{.}2$ Total labour variance $($without using the labour rate and efficiency variances$)(3$ marks$)$

$2\mathrm{.}2\mathrm{.}3$ Variable manufacturing overheads expenditure variance $(3$ marks$)$

INFORMATION

Sona Manufacturers uses the standard costing system. The standards are as follows:

Direct material $3$ kg @ R$8$ per kg

Labour $5$ hours at R$100$ per hour

Variable manufacturing overheads R$20$ per labour hour

Fixed overheads R$30000$

Normal production $19000$ units

Actual information for March $2024$:

Direct material used $61000$ kg at R$7\mathrm{.}80$ per kg

Labour $98000$ hours at R$105$ per hour

Variable manufacturing overheads R$1862000$

Fixed overheads R$32000$