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Sate and Sound Limited {SSL} produces chain link fencing for security fencing. The standard prime costs for each metre of fencing is given below: Standard
Sate and Sound Limited {SSL} produces chain link fencing for security fencing. The standard prime costs for each metre of fencing is given below: Standard prime costs: Stanchrd Material Input cost per unit 4.00.0 metres wire $0.40 per main 3 160.00 Standard labour costs 0.25 hour 542.00 per hou' 5 10.50 Total standard product cost per unit 5 \"0.50 During the year SSL produced 150,000 linear metres of their chain link product. Actual costs during the period: During the year, SSL purchased ?5,000,000 metres of the raw wire used to make their product tor a cost of $30,?50,000. (This was the only stock used tor all production this year] SSL used 61.200000 metres of wire {all at the purchased price per metre) and they worked 36.?50 Direct labour hours at a total cost of $1,579,510. Required: Calculate the Direct Material Quantity Variance
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