Fexible Budgeting and Variance Analysis Sharon's Delights Chocolate Company makes dark chocolate and light chocolate, Both products require cocoat and sugar, The following planning information has been made available: Sharon's Delights Chocolate Company does not expect there to be any beginning or ending inventories of cocoa or sugac At the end of the budget year, Sharon's Delights Chocolate Compary had the following actual results: 1. Prepare the following vaciance analyses for both chocolates and the total, based on the actual results and production levels at the end of the budget year: a. Direct materials price variance, direct materials quantity variance, and total variance. b. Direct labor rate variance, direct labor time variance, and total variance. Enter a fovorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. 2. The variance analyses should be based on the amounts at volumes. The budget must flex with the volume changes, If the volume is different from the planned volume, as it was in this case, then the budget used for performance evaluation should reflect the change in direct naterials and direct fabor that will be required for the production. In this way, spending from volume changes can be separated from efficency and price ariances