Question 2 (24 Marks - 43 Minutes) Normal 2013. Noy Mukorob Limited manufactures a single product and uses a standard costing system. The standard variable cost per product is as follows: NS Direct material 14.00 4 meter (NS3.50 per meter 1.5 hours a NS8 per hour Direct labour 12.00 Page 53 of 71 Variable manufacturing overheads Variable selling and administration overheads Budgeted selling price per product 1.5 hours @ NS2 per hour 3.00 7.50 60.00 The following are the actual results for March 2013 in which 20 000 products were manufactured and sold: Sales amounted to N$1 240 000 The total cost of material purchased was NS292 500 a $3.75 per meter. All the material was used to manufacture the 20 000 units. There was no opening or closing inventory. The total labour cost was NS253 500 at a rate of NS7.80 per hour Variable manufacturing overheads amounted to NS68 250 and variable selling and administration costs amounted to NS118 000 REQUIRED MARKS 2.1. Calculate the materials price variance. 3 22. Calculate the materials quantity variance 3 23. Calculate the direct labour rate variance. 2.4. Calculate the direct labour efficiency variance 3 2.5. Calculate the variable manufacturing overhead spending variance 3 2.6. Calculate the variable manufacturing overhead efficiency variance 3 2.7. Calculate the variable selling and administration overhead spending variance 3 2.8. Calculate the selling price variance