1. Calculate the material price variance and indicate whether it is favourable or unfavourable.
2. Calculate the material usage variance and indicate whether it is favourable or unfavourable.
3. Calculate the labour rate variance and indicate whether it is favourable or unfavourable.
4. Calculate the labour efficiency variance and indicate whether it is favourable or unfavourable.
5. Calculate the variable overhead spending variance and indicate whether it is favourable or unfavourable.
6. 6. Calculate the variable overhead efficiency variance and indicate whether it is favourable or unfavourable.

STANDARD VARIABLE COST CARD ONE UNIT OF PRODUCT Direct materials: 20 square meter at RM5 per square foot RM100.00 Direct labour: 8 hours at RM6 per hour 48.00 Variable overhead: 8 hours at RM3 per hour 24.00 Total standard variable cost per unit RM172.00 The company records materials price variances at the time of purchase. The following activities occurred during the month of July: Materials purchased 150,000 square meter at RM5.25 per sq. foot Materials used 96,000 square meter Units produced 5,000 units Direct labour 41,000 hours at RM6.55 per hour Actual variable overhead RM238,000