Fepare a flexible budget for activity levels of 550, 600, and 700 direct labor hours. "Explain why the flexible budget is more informative than the static budget. e Calculate the total cost per direct labor hour at each of the activity levels specified in part (a). . The groomers at Rensing normally work a total of 650 direct labor hours during each month. Each grooming job normally takes a groomer 1.3 hours. Milo wants to earn a profit equal to 40% of the costs incurred. Determine what he should charge each pet owner for grooming. (CGA adapted) 10.9 (L01, 2), E As sales manager, Joe Batista was given the following static budget report for selling expenses in the Clothing Department of Soria Company for the month of October Prepare flexible bud anuswer question Soria Company Clothing Department Budget Report For the Month Ended October 31, 2020 Difference Budget Actual Favorable F Unfavorable U 2,000 F 8,000 10,000 $ 2,400 720 3,600 1.600 $ 2,600 850 4,100 1,400 $ 200 U 130 U 500 U 200 F 630 U 8,320 8.950 Sales in units Variable expenses Sales commissions Advertising expense Travel expense Free samples given out Total variable Fixed expenses Rent Sales salaries Office salaries Depreciation-autos (sales staff) Total fixed Total expenses 1,500 1,200 800 1,500 1,200 800 500 4,000 $12,320 500 4.000 --0- $12.950 $ 630 U As a result of this budget report, Joe was called into the president's office and congratulated on his fine sales performance. He was reprimanded, however, for allowing his costs to get out of control. Joe knew something was wrong with the performance report that he had been given. However, he was not sure what to do, and comes to you for advice. Eudgetary Control and Responsibility Accounting Instructions a. Prepare a budget report based on flexible budget data to help Joe. b. Should Joe have been reprimanded? Explain. 11 for the first quarte