Exercise 15-10A (Algo) Evaluating a cost center including flexible budgeting concepts LO 15-3, 15-4, 15-5 Rundle 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 23,000 kits $174,800 151,800 Actual Results 24,200 kits $222,120 154,320 34,500 40,100 361,100 416,540 218,000 212,500 $579,100 $629,040 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. Required A Required B Calculate the variances. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (ie, zero variance).) Direct materials Direct labor Variable manufacturing overhead Total variable costs Fixed manufacturing overhead Total manufacturing costs Variances