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Nancy May, Inc. designs and manufactures fleece quarter-zip jackets. It sells its jackets to brand-name outdoor outfitters in lots of one dozen. Nancy May's May

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Nancy May, Inc. designs and manufactures fleece quarter-zip jackets. It sells its jackets to brand-name outdoor outfitters in lots of one dozen. Nancy May's May 2020 static budget and actual results for direct inputs are as follows: (Click tho icon to view the data.) (i) (Click the icon to view additional information.) Read the requirements. Data table More info Nancy May has a policy of analyzing all input variances when they add up to more than 8% of the total cost of materials and labor in the flexible budget, and this is true in May 2020. The production manager discusses the sources of the variances: "A new type of material was purchased in May. This led to faster cutting and sewing, but the workers used more material than usual as they learned to work with it. For now, the standards are fine." 1. Calculate the direct materials and direct manufacturing labor price and efficiency variances in May 2020. What is the total flexible-budget variance for both inputs (direct materials and direct manufacturing labor) combined? What percentage is this variance of the total cost of direct materials and direct manufacturing labor in the flexible budget? 2. Comment on the May 2020 results. Would you continue the "experiment" of using the new material? Requirement 1. Calculate the direct materials and direct manufacturing labor price and efficiency variances in May 2020. What is the total flexible-budget variance for both inputs (direct materials and direct manulacluring labor) combined? What percentage is this variance of the total cost of direct materials and direct manufacturing labor in the flexible budgot? Begin by calcuabing the direct materials and direct manufacturing labor price and efficiency variances in May 2020. Complete the actual results, price variance, and cost columas, then the elficiency variance and flexible budgot columns. Label each variance as favorable or unfavorable. (Round all answers to the nearest cent.)

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