6. Loreto Statuary manufactures bust statues of famous historical figures. All statues are the same size. Each unit requires the same amount of resources. The following information is from the static budget for 2017: 1(Click the icon to view the static budget data.) Requirement 1. Calculate the sales-volume variance and flexible-budget variance for operating income. Standard quantities, standard prices, and standard unit costs follow for direct materials and direct manufacturing labor: 2(Click the icon to view the data.) Read the requirements. Begin with the actual results, then complete the flexible budget columns and the static budget columns. Label each variance as favorable (F) or unfavorable (U). (For variances with a $0 balance, make sure to enter "0" in the appropriate field. If the variance is zero, do not select a label.) Actual Flexible-Budget Flexible Static Budget Sales-Volume Output units Revenues Results Variance (1) (2) Variance Budget (8) (9) Direct materials (3) |(10) Direct manufacturing labor (4) |(11) Fixed costs (5) Total costs (6) (12) Operating income |(7) |(13) |(14) Requirement 2. Compute price and efficiency variances for direct materials and direct manufacturing labor. Compute the price and efficiency variances for direct materials. Label each variance as favorable (F) or unfavorable (U). Price variance Efficiency variance (15) (16) Compute the price and efficiency variances for direct manufacturing labor. Label each variance as favorable (F) or unfavorable (U). Price variance Efficiency variance 1: Data Table |(17) (18) Expected production and sales 6 700 units