Intel manufactures microchips and uses flexible budgeting. The following budgeted and actual data is available:

Budgeted Data	Budgeted Quantity	Budgeted Cost per Unit	Actual Quantity	Actual Cost per Unit
Direct Materials	50,000 kg	$20	55,000 kg	$22
Direct Labor	100,000 hours	$25	95,000 hours	$26
Variable Overhead	50,000 hours	$15	55,000 hours	$16

Requirements:

1. Prepare a flexible budget for Intel.
2. Calculate the material cost variance.
3. Calculate the labor cost variance.
4. Determine the variable overhead variance.