(a)[4]
Prepare a statement showing the overall flexed budgeted production costs for March 2019.
(b(i))[12]
Calculate the material price variance.
(b(ii))[12]
Calculate the material usage variance.
(b(iii))[12]
Calculate the labour rate variance.
(b(iv))[12]
Calculate the labour efficiency variance.
(b(v))[12]
Calculate the variance for fixed overhead expenditure.
(b(vi))[12]
Calculate the variance for fixed overhead volume.
(c)[2]
Explain how a fixed overhead capacity variance might occur.
(d)[5]
Prepare a statement that reconciles the budgeted production costs at 7800 units against the actual production costs.
(e)[2]
Explain to the directors one way in which they could lessen the impact of the increase in labour costs.