The standard cost sheet per unit for the product produced by Modern Manufactures is worked out on this basis. Direct materials 1.3 tons @ 4 per ton Direct labour 2.9 hours @ 2.3 per hour Factory overhead 2.9 hours @*2 per hour Normal capacity is 2,00,000 direct labour hours per month. The factory overhead rate is arrived at on the basis of a fixed overhead of 1,00,000 per month and a variable overhead of *1.50 per direct labourhour. In the month May,50.000 units of the product was started and completed. An investigation of the raw material inventory account reveals that 78,000 tons of raw material were transferred into and used by the factory during May. These goods cost 24.20 per ton. 1.50,000 hours of direct labour were spent during May at cost of 2.50 per hour. Factory overhead for the month amounted to 3,40,000 of which 1,02,000 was fixed. Compute and identify all variances under Material, Labour and Overhead as favourable or adverse. Also identify one or more departments in the Co. who might be held responsible for each variance. Instructions: Provide the solution in the Word or excel file. Show all the necessary calculations.