As we have witnessed in previous and current years, the business environment around the globe has been highly uncertain and volatile. The COVID-19 pandemic has created many unexpected disruptions to our society and economy on a global scale. Furthermore, both domestic and global economies have been suffering from high inflation due to many countries' aggressive fiscal and monetary policies and to negative shocks to international supply-chains. Accordingly, the U.S. Federal Reserve has increased the interest rates by unprecedented margins several times this year. Suppose that you are running a sizable business You can conceive or choose any (type of) business for your discussion of examples. First, discuss how the current uncertain and volatile environment with high inflation would affect the variance analyses in your company. For example, you can at least briefly discuss challenges you would face in conducting variance analyses in this economic environment. Also, elaborate on how the current circumstances in 2022 would affect the price and efficiency variances (of direct materials and labor costs) in your company. Then, you should discuss whether you think it would be useful for your firm to compute the price and efficiency variances (of direct materials and labor costs) and then use the variances as a basis for controlling and evaluating relevant employees and as an input for the next-year planning. Whether or not it would be, provide specific reasoning and rationales that can support your argument. 'One-point deduction will be applied for each breach of these format requirements. While the word count does not include the student name, section, title, or bibliography (e.g., reference), the submission deviates from the length limit will be deducted by 1 point for every 20 words. 1 On a related point, in the last paragraph of your writing, provide your own arguments for why firms still need to keep doing budgeting, if you agree. If you believe it would not be meaningful to do budgeting under the current circumstances, provide some alternative ways that managers can use for planning their operations and evaluating employees. Discuss some specific benefits and weaknesses that you can expect, whichever choice you make between (1) continuing budgeting and (2) (temporarily) ceasing budgeting and instead using alternative management tool(s) you propose.