Kimball Company manufactures Product 101. The standard price for material used in Product 101 is $1.50 per yard. The standard quantity of material for Product 101 is 2 yards. The standard rate for labor is $8.00 per hour. The standard quantity of labor for Product 101 is 1.5 hours. Kimball Company expected to produce 22,000 units of Product 101 in August. They planned to incur $330,000 of fixed overhead during the month. Kimball Company actually produced 20,000 units of Product 101 in August. They purchased 43,000 yards of material at a price of $1.60 per yard for a total cost of $68,800. They used all of this material in the production of Product 101 during August. The labor cost incurred to produce 20,000 units of Product 101 in August was 31,000 hours at a total cost of $243,350. Kimball Company incurred $328,000 of fixed overhead cost in August. Required: FLEXIBLE BUDGET MATERIAL VARIANCES 1. Calculate the cost of materials allowed for in the flexible budget for the month of August. 2. Is the overall flexible budget for materials favorable or unfavorable? 3. Calculate the flexible budget material price and usage variances for the month of August. Kimball Company manufactures Product 101. The standard price for material used in Product 101 is $1.50 per yard. The standard quantity of material for Product 101 is 2 yards. The standard rate for labor is $8.00 per hour. The standard quantity of labor for Product 101 is 1.5 hours. Kimball Company expected to produce 22,000 units of Product 101 in August. They planned to incur $330,000 of fixed overhead during the month. Kimball Company actually produced 20,000 units of Product 101 in August. They purchased 43,000 yards of material at a price of $1.60 per yard for a total cost of $68,800. They used all of this material in the production of Product 101 during August. The labor cost incurred to produce 20,000 units of Product 101 in August was 31,000 hours at a total cost of $243,350. Kimball Company incurred $328,000 of fixed overhead cost in August. Required: FLEXIBLE BUDGET MATERIAL VARIANCES 1. Calculate the cost of materials allowed for in the flexible budget for the month of August. 2. Is the overall flexible budget for materials favorable or unfavorable? 3. Calculate the flexible budget material price and usage variances for the month of August