The budgeted and standard data for the productivity include the following

Direct labour

Ten employees work for 4 hour a week.The standard rate of pay is ksh. 4 per hour.Output per hour is 40 kg of the product.

Direct material

Material quantity in kg price per kg

x 60 2.00

y 40 1.00

z 100 1.40

From this standard matrix 180kg of product is expected.Actual data for first week of April were as follows

Hours worked 45

Rate of pay ksh 4 per hour

Overhead incurred ksh 5400

Output 1980 kg

Production and consumption of materials were as follows

Material Quantity (kg)

x 700

y 440

z 1120

Required :

(a) Calculate the following direct material variance for each material (10mks)

(i) Total

(ii) Price

(iii) Usage

(iv) Mix

(b) Calculate the direct labour efficiency variance