Bayside manufactures fibreglass surfboards. The standard cost of direct materials and direct manufacturing labour is R225 per surfboard. This includes 30 kg of direct materials at the budgeted price of R3 per kg, and 9 hours of direct manufacturing labour, at the budgeted rate of R15 per hour.

The following are additional data for the month of June:

            Units completed                                                       5 500 units

            Direct material purchases                                      190 000 kg

            Cost of direct material purchases                         R579 500

            Actual direct manufacturing labour hours                      49 000 hours

            Actual direct labour cost                                         R739 900

            Direct material usage variance                              R1 500 F

There were no beginning inventories.

Required:

3.1       Calculate the direct manufacturing labour variances for June.                                  

3.2       Calculate the actual kgs of direct materials used in production during June. 

3.3       Calculate the actual price per kg of direct material purchased.                       

3.4       Calculate the direct materials price variance.                                                     

3.5       Prepare journals entries (with narrations) for the above transactions and close off the variances to Cost of Goods Sold account.