Bryant Company's budgeted prices for direct materials, direct manufacturing labor, and direct marketing (distribution) labor per attach case are 544, S7, and S11, respectively. The president is pleased with the following performance report: (Click the icon to view the performance report.) Actual output was 9,800 allach cases. Assure all three direct-cost items above are variable costs. Requirement Is the president's pleasure justified? Prepare a revised performance report that uses a flexible budget and a static budget. Prepare a revised performance report that uses a flexible budget and a static budget. 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 50 balance, make sure to enter "O" in the appropriate field. If the variance is zero, do not select a label.) Actual Flexible-Budget Flexible Sales-Volume Static Results Budget Variance Budget Output units Direct materials Direct manufacturing labor 1 Variance Direct marketing labor Total direct costs Is the president's pleasure justified? The existing performance report is a analysis, based on a static budget. It makes for changes in output levels. The existing performance report shows a total direct cost varlance of The flexible budget efficient use of each direct variance shows each direct cost category to have an) cost item than was budgeted, or the use of variance indicating direct cost items than was budgeted, or both in output units from the amount budgeted. The president should analyze the for each cost category to assist in identifying the The revised performance report reveals that this variance is due to the causes. Actual Costs Static Budget Variance Direct materials 448,000 $ 484,000 $36,000 F 75,500 77,000 1,500 F Direct manufacturing labor Direct marketing (distribution) labor 109,000 121,000 12,000 F