(a(i))[2]
Work out the material price variance for October.
(a(ii))[2]
Work out the material usage variance for October.
(a(iii))[2]
Work out the labour rate variance for October.
(a(iv))[2]
Work out the labour efficiency variance for October.
(b(i))[4]
Analyse, using your answer from part (a), how the material price variance and material usage variance are connected.
(b(ii))[4]
Analyse, using your answer from part (a), how the labour rate variance and labour efficiency variance are related.
(c)[4]
Explain to Mohindra how this variance can be broken down to give him extra information about how his business is performing.
(d)[5]
Advise Mohindra whether to adopt this course of action or not. Support your response.