Thompson plc manufactures a single product. The budgeted costs per unit for the month of April 2014 were:

£

Direct materials (£3 per kg)

6

Direct labour (£8 per hour)

20

Anticipated production for April 2014 was 10,000 units. The actual results for April 2014 were:

£

Direct materials (20,000 kg)

55

Direct labour 25,000 hours)

240

The actual costs were based on production of 9,000 units. Calculate the labour and materials variances.