(Answered) : Question 21 Following Information Available Abc Manufacturing Standards Direct Materials 2 Q35107050

Question 21

The following information is available for ABCManufacturing:

Standards:

Direct materials (2m @ R5)      R10

Direct labour (0.5h @ R10p/h) R5

Actual results for the year

Production       6000 units

Direct materials (11750m purchased andused)          R61 100

Direct labour (2 900 hours)      R29580

Management allows a 5% variance from standards

Spending variable overhead variance is the?

Select one:

a. Difference between the actual variable overhead rate and thestandard variable overhead rate

b. All of the options are correct

c. Actual price of the product and the standard price of theproduct

d. Spending overhead and the efficiency overhead

Question 22

The following information is available for ABCManufacturing:

Standards:

Direct materials (2m @ R5)      R10

Direct labour (0.5h @ R10p/h) R5

Actual results