report includes the following selected data. (Cick the icon to view the selected data.) Requirement 1. Prepare a fexible budget based on the actual number of reciners sold. (Roand budget amounts per unit to the nearest cent) Requirement 2. Compute the cost variance and the efficency variance for direct matenals and for direct labor. For manufactuning overhead, compute the variable overhead cost, variable overhead efficiency, fixed overhead cost, and fised owerthead volume variances. Round to the nearest dolar Begin with the cost variances. Select the required formulas, compute the cost vartances for droct materials and direct taboc, and ifentify whother each wariance is tavorable (F) or untavorable (U) Smith Reciners machulactures leather teciners and uses flexble budgetng and a standard cost system. Smith allocanes overhead based on yarbs of direct matenals. The corepanys perfarmance report inclades the following selected data fin (cilck the icon to viere the selected data) Now compute the variable ovehead cost and ettelency variances. Select the fequired formulas, compute the varable overhead cost and efficiency varlances, and identsy wheher each variance is standwed quantify, VOH = varable overtwad) Now compute the fixed owehedd cost and volume varances. Select the required formulas, compute the fred overteod cost and velume varlancel, and idently whether esch variance is favorable Smith Recinens manulactures inather reciners and uses fecuble budgoting and a standard cost system. Smith allocasos overthed based on yards of direct materials. The company's performance report includes the following selected data: TII (Cick the loon to view the selecied data) Now compuce the fiwed overtedd cost and volume variances. Select the required formulas, compute the fived overhead cost and volume variances, and identify whechar aach variance is favorabie quartity.) Requirement 3. Have Smithis managers done a good job or a poor job controling materids, labof, and overtiesd cosis? Why? The variances conputed in Requirement 2 suggest that the mansgers have done a job controlling materiais and labor costs. The dieect materials cost variance and direct evidenced by the tact that of the ovehead variances are Requirement 4. Doscrbe how Smatis managors can becoft from the standard costng systom. Data table