QUESTION 1 Adekunle Plastics Limited, a Lagos-based manufacturer of household plastic containers, uses a standard costing system. The following information relates to the production of its 'Supreme' container for the month of October 2024: Material Information: - Standard material per unit: 2kg at N500 per kg - Actual production: 4,500 units - Actual material purchased and used: 9,800 kg at N520 per kg Labour Information: - Standard labour per unit: 3 hours at N800 per hour - Actual hours worked: 14,200 hours - Actual labour cost: N11,076,000 The company operates a just-in-time (JIT) purchasing system and the production manager has raised concerns about the rising cost of raw materials sourced from a local supplier in Kano. Required: (a) Calculate the following material variances for October 2024: (i) Material Price Variance (ii) Material Usage Variance (iii) Total Material Cost Variance (8 marks) (b) Calculate the following labour variances for October 2024: (i) Labour Rate Variance (ii) Labour Efficiency Variance (iii) Total Labour Cost Variance (8 marks) (c) Provide TWO possible causes each for the adverse material price variance and the labour efficiency variance, having regard to the operations of Adekunle Plastics Limited. (4 marks) (Total: 20 Marks)