PR $10-7($LO $10\mathrm{.}2)$ Tumi manufactures and sells high$-$end... Tumi manufactures and sells high$-$end suitcases. The static budget variance is an unfavorable variance in operating income of approximately $$10,000,000.$ Management wants to do more analysis to understand the cause of this difference. Assume that you are the cost accountant for the organization and you have collected the following data: StandardActualUnits sold$1,300,000$Units sold$1,250,000$Units produced$1,300,000$Units produced$1,250,000$Sales price$ $600$Sales price$ $625$Direct materials requiredDirect materials purchased $($total$)$ Leather $(3$ yards$)$$ $12$ per yard$$ Leather $(3$ yards$)4,500,000$ yards$ $58,500,000$ Zipper $(5)$$ $1$ per zipper$$ Zipper $(5)6,875,000$$ $6,875,000$ Wheels $(4)$$ $1$ per wheel$$ Wheels $(4)5,005,000$$ $5,005,000$ Handle $(1)$$ $10$ per suitcase$$ Handle $(1)1,300,000$$ $13,000,000$Direct labor hours$325,000$ hoursDirect labor hours$350,000$ hours$$Direct labor rate per hour$ $12\mathrm{.}50$Direct labor rate per hour$ $12\mathrm{.}00$Variable manufacturing overhead$ $1\mathrm{.}00$ per suitcaseVariable manufacturing overhead$ $0\mathrm{.}75$ per suitcase$$Fixed costs$ $125,000$Fixed costs$ $126,000$ Required: Prepare a flexible budget variance analysis using the format from Exhibit $10\mathrm{.}6.$ Note: Select None if there is no variance.