Possible Causes of Variances * Materials price variance : Increased suppliers, increased supplies resulted of reduced price. *Materials quantity variance : No variance because, quantity purchased all are utilized in the production. Because involved food raw material that cannot be kept in long period.* Labour rate variance: Rate increased resulted in increase of actual direct labour cost. Caused by wrong assignment of rate by the manager. Increased rate to motivate the worker since Hari Raya that will be coming. *Labour efficiency variance: Occured because of the difference of actual labour hours used and standard labour hours allowed. Poorly trained workers, break down of machine lead to idle time, poor supervision on workers.Variable overhead spending variance. Actual cost is higher than expected after adjusting for the actual machine hours used. Paying a higher than expected price per unit for variable overhead items. Variable overhead efficiency variance: Used more machine hours than standard quantity given actual whole chicken produced.To prevent the recurrence unfavourable variance The labours should be trained well in handling the materials and machine. Supervisor also should play the role in supervising the workers as well as motivating them to work right and efficiently. The schedule of work assignments also should be focused more to ensure the efficiency of direct labour in the production line. The rate of direct labour must be assigned properly. The machines and equipments used must be maintained well, so that, MHC will have no problem at all in the production process.