Ms. Darwin asked Conrad Pearson, KTI's chief accountant, to explain what caused the increase in cost. Mr. Pearson responded that: things were not as bad as they seemed. He noted that part of the cost variance resulted from making and selling more tables than had been expected. Making more tables naturally causes the cost of materials and labor to be higher. He explained that the flexible budget cost variance was less than $1.2 million. Specifically, he provided the following comparison. Based on this information, he argued that the relevant variance for performance evaluation was only $1,077,000($8,694,000 $7,617,000). Ms. Darwin responded, "Only $1,077,00011 consider that a very significant number. By the end of the day, I want a full explanation as to what is causing our costs to increase," Required a-1. Based on the following information, determine the total materials cost variance and the price and usage variances. Assuming that the varlances are an appropriate inniratnr nf ma.ina a-2. Based on the following information, determine the total labor cost variance and the price and usage variances. Assuming that the variances are an appropriate indicator nf rauson a-3. Determine the amount of the fixed cost spending and volume variances: Complete this question by entering your answers in the tabs below. Based on the following information, determine the total materials cost variance and the price and usage variances. Assuming that the variances are an appropriate indicator of cause. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i,ei, zero variance).)