7. Located in San Pedro Town, Pirate's Pizza produces a variety of thin or thick crust pizzas for locals and tourists. The firm currently produces and sells a variety of pizzas, such as White Pizza, Tomato & Basil Pizza, Veggie Lovers Pizza, Chicken Fajita Pizza, BB Chicken Pizza, and Garlic Shrimp Pizza. Customers can also customize their own pizzas. The firm's operating budget and actual results for November 2019 are as follows: Actual Budgeted Unit Sales 1.250 1,675 Selling Price $ 29 $ 27 Variable Cost $ 12 S 14 Fixed Cost s 7.500 $ 6,700 The manager of Pirate's Pizza noted that the operating income for November 2019 was much lower than anticipated, even though the firm had a higher-than-budgeted selling price and a lower-than-budgeted variable cost per unit. As their cost accountant, you have been asked to provide explanations for the disappointing results in November 2019. Required: I (i) Prepare a static-budget-based variance analysis of the performance in November 2019. (10 points) (ii) Prepare a flexible-budget-based variance analysis of the performance in November 2019. (18 points) (iii) Why might the firm's management find the flexible-budget-based variance analysis more informative than the static-budget-based variance analysis? Explain. (2 points)