Betty Lou, Inc. designs and manufactures fleece quarter-zip jackets. It sells its jackets to brand-name outdoor outfitters in lots of one dozen. Betty Lou's May 2020 static budget and actual results for direct inputs are as follows: (Click the icon to view the data.) (Click the icon to view additional information.) Read the Requirement 1. Calculate the direct materials and direct manufacturing labor price and efficiency variances in May 2020 . What is the total flexible-budget variance for both inputs (direct materials and direct manufacturing labor) combined? What percentage is this variance of the total cost of direct materials and direc manufacturing labor in the flexible budget? Begin by calculating the direct materials and direct manufacturing labor price and efficiency variances in May 2020 . Complete the actual results, price variance, and cost columns, then the efficiency variance and flexible budget columns. Label each variance as favorable or unfavorable. (Round all answers to the nearest cent.) The total flexible-budget variance for both inputs (direct materials and direct manufacturing labor) combined is This variance is % of the total cost of direct materials and direct manufacturing labor in the flexible budget. (Round the variance to the nearest cent and the percentage to two decimal places, X.XX%.) Requirement 2. Comment on the May 2020 results. Would you continue the "experiment" of using the new material? A. Efficiencies have improved in the direction indicated by the production manager but Betty Lou should not continue to use the new material. Use of the new material would require a change to the standard material price since the new material costs more than the old. Making this change to the cost accounting system is complex and very expensive. B. Efficiencies have improved in the direction indicated by the production manager-but, it is unclear whether they are a trend or a one-time occurrence. Betty Lou should continue to use the new material, especially in light of its superior quality and feel; but it may want to re-examine the standard material price since the new material costs more than the old. C. Efficiencies have improved in the direction indicated by the production manager. Betty Lou should not continue to use the new material, though, since the overall efficiency variance is still unfavorable. D. Efficiencies have declined although the production manager had indicated they would improve. Although the new material has superior quality and feel, Betty Lou should not continue to use the new material in light of the unfavorable efficiencies. Data table