South Ltd (South) manufactures two types of industrial cleaning agents, Super Clean and Quick Clean. The following were the standard direct labour hours per litre and budgeted production quantities for a 4-week period: Super Clean Quick Clean Standard direct labour hours per product litre 0,40 hours 0,56 hours Budgeted production quantities 11 000 litres 6 800 litres During the entire 4-week period 55 workers were directly employed in the production process and all worked a standard 40-hour week. The standard wage rate for all these workers was R20,00 per hour. One of the materials used in the manufacture of both products is material Bravo. The following actual information for the 4-week period is available: Production quantities: Super Clean 10 800 litres Quick Clean 8 200 litres Direct wages paid R177 400 Material Bravo purchased 14 460 litres costing R26 190 Material Bravo price variance R4 176 Favourable Material Bravo usage (Super Clean) 10 285 litres Material Bravo usage variance (Super Clean) R3 227,70 Adverse The following budgeted annual revenue and costs per litre for the year ended 31 March 2012 are available: Super Clean R Quick Clean R Selling price 29,20 13,50 Variable costs 16,10 7,20 Fixed costs: Product specific 4,90 3,50 General 4,60 4,60 Unit fixed costs are based on the following annual sales and production volumes for the year ended 31 March 2012: Super Clean 143 000 litres Quick Clean 88 400 litres Budgeted annual overheads specific to Super Clean and Quick Clean are as follows: R Material purchase and storage 52 000 Setting up of machines 195 000 Production 645 000 Quality control 118 100 Total 1 010 100 Additional information regarding overheads: The products are manufactured by machines and takes on average three machine hours for every Super Clean production unit and two machine hours for every Quick Clean production unit. A production unit equates to 200 litres of product for both products. It takes twice as long to set up the machine for Super Clean than for Quick Clean. 125 orders were budgeted for the year (100 for Super Clean and 25 for Quick Clean) 300 hours were budgeted for setting up the machines. An inspection is done after every 100 machine hours of production. REQUIRED (a) Calculate the direct labour variances for the given 4-week period. (all types of variances) (b) Calculate the standard purchase price for material Bravo for Super Clean for the 4week period. (c) Calculate the standard usage of material Bravo per litre of Super Clean produced