Campbell Medical Equipment Company makes a blood pressure measuring kit. Jason McCoy is the production manager. The production department's static budget and actual results for Year 3 follow: Production in units Direct materials Direct labor Variable manufacturing overhead Total variable costs Fixed manufacturing overhead Total manufacturing cost Static Budget 36,000 kits $237,600 Actual Results 38,200 kits $290,020 207,420 201,600 54,000 59,600 493,200 557,040 205,000 199,200 $698,200 $756,240 Required a. Convert the static budget into a flexible budget. b. Calculate the variances. Complete this question by entering your answers in the tabs below.