QUESTION 4 (20 Marks) 4.1 REQUIRED Use the information provided below to calculate the following variances: 4.1.1 Material quantity variance 4.1.2 Material purchase price variance 4.1.3 Labour rate variance 4.1.4 Labour efficiency variance 4.1.5 Sales price variance (3 marks) (3 marks) (3 marks) (3 marks) (3 marks) INFORMATION Budgetfurn manufactures one type of plasma stand and uses a standard costing system. The following is the standard variable cost per stand: Material @ R90 per metre Labour @ 4 hours R360 R200 Budgeted sales - 480 units at R700 each The following are the actual results for March 2019 Materials purchased and used 2 200 metres Labour (rate per hour R55) Sales R209 000 R115 500 R400 000 500 units were manufactured and sold during March 2019. There were no completed units, work in progress or material on hand at the beginning or end of March 2019. 4.2 REQUIRED (5 marks) Discuss the possible reasons for the labour variances