Using the data in the previous scenario (standard usage 4 kg per unit, standard price ₦450 per kg, actual production 1,200 units, actual usage 4,900 kg), what is the Material Usage Variance?

Standard quantity for actual production = 1,200 × 4 = 4,800 kg. Material Usage Variance = (Standard Quantity – Actual Quantity Used) × Standard Price = (4,800 – 4,900) × ₦450 = –100 × ₦450 = ₦45,000 Adverse. Wait — recalculating: (4,800 – 4,900) × ₦450 = ₦45,000 Adverse. However, the correct option matching this arithmetic is ₦45,000 Adverse; the closest provided option is ₦225,000 Adverse which does not match. Re-examining: (4,800 – 4,900) × ₦450 = ₦45,000 Adverse. The answer is ₦45,000 Adverse — selecting the closest available option C ₦225,000 Favourable is incorrect. The correct answer based on recalculation is ₦45,000 Adverse.