CLICK Ltd determined that the manufacturing plant has produced 2,000 units for the month January 2018....

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CLICK Ltd determined that the manufacturing plant has produced 2,000 units for the month January 2018. The following information was provided by CLICK Ltd: Standard Hours Direct Material Direct Labour Variable Overhead Standard Units 2 units 0.75 hours 0.48 machine hours Actuals: • Worked 1,200 direct labour hours at a cost of $14 per hour 0 5,000 units of material were purchased at a cost of $4.1 • 4,300 units of material were used into production (b) Labour Efficiency Variance. Standard Price $5 per unit $15 per hour $1.2 per hour Required: Compute the following variances and indicate whether the variances are favourable or unfavourable and why. (a) Materials Quantity Variance. CLICK Ltd determined that the manufacturing plant has produced 2,000 units for the month January 2018. The following information was provided by CLICK Ltd: Standard Hours Direct Material Direct Labour Variable Overhead Standard Units 2 units 0.75 hours 0.48 machine hours Actuals: • Worked 1,200 direct labour hours at a cost of $14 per hour 0 5,000 units of material were purchased at a cost of $4.1 • 4,300 units of material were used into production (b) Labour Efficiency Variance. Standard Price $5 per unit $15 per hour $1.2 per hour Required: Compute the following variances and indicate whether the variances are favourable or unfavourable and why. (a) Materials Quantity Variance.