Fexible Budget, Standard Cost Variances, T-Accounts Ingles Company manufactures external hard drives. At the beginning of the period, the following plans for production and costs were revealed: During the vear, 24,800 units were produced and sold, The foliowing actual costs were incurred: There were no beginning or ending inventories of direct materials. The direct materials price variance was $9,572 unfavorable. In producing the 24,800 unts, a total of 12,772 hours were worked, 3 percent more hours than the standard allowed for the actual output. Overhead costs are applied to production using direct labor hours. 1. Prepare a performance report comparing expected costs to actual costs. Feedback r Check My Work 1. A flexible budget (1) provides expected costs for a variety of activity levels, or (2) provides budgeted costs for t 2. Determine the following. If a variance amount is zero, enter " 0 " and select "Not applicable" from the drop-down list. a. Direct materials usage variance 4 b. Direct labor rate variance c. Direct labor usage variance d. Fixed overhead spending and volume variances e. Variabie overhead spending and efficiency variances Variable overtead spending variance 3 Variable overthead efficiency variance. s Fetiles oneruywin. 3. Use T-accounts to show the flow of costs through the system. In showing the flow, you do not need to show detailed overhead varlances. Show only the over-and underapplied variances variable overhead. Record the following transactions in the T-accounts: If an amount is zero, enter " 0 ". (o) purchase of materials, (B) issuance of materials into production, (c) incurrence of direct labor cost, (d) application of variable overhead cost to production, (e) application of fixed overhead cost to production, (b) transfer of finished goods to faished goods inventory. (o) sale of goods; (h) clesure of Direct Materiais Price Variance account, 6) closure of Direct Materials Usage Varlance account, (j) closure of Direct Labor Efficiency Varlance account, (M) clowire of Variable Owewhead Control account, and (i) dosves of fiued owethess control eccoynt. Enter these transactions in the T-accounts in the same order that they are presented here