a. Did TTW increase unit sales by cutting prices or by using some other strategy? b. Is Mr. Richardson correct in his conclusion that something is wrong with the company's performance evaluation process? If so, what do you suggest be done to improve the system? c. Prepare a flexible budget and recompute the budget variances, d. Explain what might have caused the fixed costs to be different from the amount budgeted. e. Assume that the company's materials price variance was favorable and its materials usage variance was unfavorable. Explain why Mr. Richardson may not be responsible for these variances. Now, explain why he may have been responsible for the materials usage variance. f. Assume the labor price variance is unfavorable. Was the labor usage variance favorable or unfavorable? g. Is the fixed cost volume variance favorable or unfavorable? Explain the effect of this variance on the cost of each unit produced. ATC 8-2 Group Assignment Variable price and usage variances and fixed T manufacturing overhead cost variances