Rugged Life, Inc. designs and manufactures fleece quarter-zip jackets. It sells its jackets to brand-name outdoor Outfitters in lots of one dozen. Rugged Life's May 2017 static budget and actual results for direct inputs are as follows: Click the icon to view the data.) (Click the icon to view additional information.) Read the requirements Requirement 1. Calculate the direct materials and direct manufacturing labor price and efficiency variances in May 2017. What is the total flexible-budget variance for both inputs (direct materials and direct manufacturing labor) combined? What percentage is this variance of the total cost of direct materials and direct manufacturing labor in the flexible budget? Begin by calculating the direct materials and direct manufacturing labor price and efficiency variances in May 2017. Complete the actual results, price variance, and cost columns, then the efficiency variance and flexible budget columns. Label each variance as favorable or unfavorable (Round all answers to the nearest cont.) Actual Price Actual Input Qtyx May 2017 Variance Budgeted Price Units Direct materials labor Results Total variance - X Data Table Static Budget Number of jacket lots (1 lot = 1 dozen) Per Lot of Jackets: 300 Direct materials 18 yards at $4.65 per yard = $83.70 2.4 hours at $12.50 per hour = $30.00 Direct manufacturing labor Actual Results 325 Number of jacket lots sold Total Direct Inputs: Direct materials Direct manufacturing labor 6,500 yards at $4.85 per yard = $31,525.00 715 hours at $12.60 per hour = $9,009.00 Print Done ct materials and direct manufacturing labor price and efficiency variances in May 2017. What is the re ma i X More Info eri ari Ictu Il a Rugged Life has a policy of analyzing all input variances when they add up to more than 8% of the total cost of materials and labor in the flexible budget, and this is true in May 2017. The production manager discusses the sources of the variances: "A new type of material was purchased in May. This led to faster cutting and sewing, but the workers used more material than usual as they learned to work with it. For now, the standards are fine." Print Done Tals and dire als and et? X i Requirements direct fficiend results, pric vers to the Actu Resu 1. Calculate the direct materials and direct manufacturing labor price and efficiency variances in May 2017. What is the total flexible-budget variance for both inputs (direct materials and direct manufacturing labor) combined? What percentage is this variance of the total cost of direct materials and direct manufacturing labor in the flexible budget? 2. Comment on the May 2017 results. Would you continue the "experiment" of using the new material? Print Done