Medical Equipment Company makes a blood pressure measuring kit. Jason McCoy is the production manager. The production department$$s static budget and actual results for Year $3$ follow.

Static Budget Actual Results

Production in units $20,000$ kits $22,400$ kits

Direct materials $ $148,000$ $ $204,360$

Direct labor $128,000137,360$

Variable manufacturing overhead $30,00035,900$

Total variable costs $306,000377,620$

Fixed manufacturing overhead $203,000197,300$

Total manufacturing cost $ $509,000$ $ $574,920$

Required

A: Convert the static budget into a flexible budget.

B: Calculate the variances. Adams Medical Equipment Company makes a blood pressure measuring kit. Jason McCoy is the production manager. The production

department's static budget and actual results for Year $3$ follow.

Required

a$.$ Convert the static budget into a flexible budget.

b$.$ Calculate the variances.

Complete this question by entering your answers in the tabs below.

Convert the static budget into a flexible budget.

Note: Do not round intermediate calculations. Adams Medical Equipment Company makes a blood pressure measuring kit. Jason McCoy is the production manager. The production

department's static budget and actual results for Year $3$ follow.

Required

a$.$ Convert the static budget into a flexible budget.

b$.$ Calculate the variances.

Complete this question by entering your answers in the tabs below.

Required $A$

Calculate the variances.

Note: Indicate the effect of each variance by selecting $"F"$ for favorable, $"$U$"$ for unfavorable, and "None" for no effect $($i$.$e$.,$

zero variance$).$