The Flex Company's costing system has two direct-cost categories: direct materials and direct manufacturing labor. Manufacturing overhead (both variable and fixed) is allocated to products on the basis of standard direct manufacturing labor hours (DLH). At the beginning of 2021, the Flex Company budgeted production of 10,000 units for the period and adopted the following standards for its manufacturing costs: Direct materials Direct manufacturing labor Manufacturing overhead: Variable Fixed Standard manufacturing cost per output unit Direct materials purchased Direct materials used Direct manufacturing labor Actual variable manufacturing overhead Actual fixed manufacturing overhead Actual production Input 5 lbs. at $20 per lb. 3 hrs. at $15 per hr. $6 per DLH $12 per DLH Cost per Output Unit 1. ii. iii. iv. Input price variances are isolated upon purchase. Input efficiency variances are isolated at the time of usage. The records for the period indicate the following: $ 100 45 60,000 lbs. at $20.25 per lb 50,000 lbs. 30,000 hrs. at a total of $457,500 $188,000 $374,000 10,200 output units 36 $199 Required: a) For the period, compute the following variances, indicating whether each is favorable (F) or unfavorable (U): (10 points) 18 Direct materials price variance Direct materials efficiency variance Direct manufacturing labor price variance Variable manufacturing overhead efficiency variance. Production-volume variance V. b) Prepare journal entries for the direct materials price and efficiency variances. (5 points) c) Provide a possible explanation for each variance calculated in part a) (i.c., a total of 5 explanations). For example, if actual price was greater than budgeted price, then state a reason why this might be the case. (5 points)