The following data was obtained from a fast moving consumer goods company. Budgeted and standard data for a product coded A$-001$ include the following.

Direct labour:

Ten employees work a $45$ hour week. Standard rate of pay is $4$ per hour. Output per hour is $40$ kg of product.

Direct materials;

Material Quantity $($kg$)$ Price per Kg $()$

X $602\mathrm{.}00$

Y $401\mathrm{.}00$

Z $1001\mathrm{.}40$

From this standard mix, $180$ kg of product are expected.

Actual data for the first week in April, were as follows.

Hours worked $45$

Rate of pay $4$ per hour

Overhead incurred $5400$

Output $1980$ kg

Production and consumption of materials were as follows:

Material Quantity $($kg$)$

X $700$

Y $440$

Z $1120$

Required:

Calculate the following direct material variances for each material;

i$.$ Total ii$.$ Price iii. Usage iv$.$ Mix v$.$ Yield

$(10$marks$)$

Discuss $5$ causes of material usage variance. $(5$marks$)$