Part 2: 1) Lubriderm Corporation has the following budgeted unit sales for the next six-month period: There were 30,000 units of finished goods in inventory at the beginning of June. Plans are to have an inventory of finished products that equal 20% of the unit sales for the next month. Five pounds of materials are required for each unit produced. Each pound of material costs $8. Inventory levels for materials are equal to 30% of the needs for the next month. Materials inventory on June 1 was 15,000 pounds. Required: 3. Prepare production budgets in units for July, August, and September (20 points). BONUS: b. Prepare a purchases budget in pounds for July, August, and September, and give total purchases in both pounds and dollars for each month (10 points). 2) Nancy's Draperies manufactures curtains. A certain window curtain requires the following: Direct materials standard 10 square yards at $5 per yard Direct manufacturing labor standard 5 hours at $10 During the second quarter, the company made 1,500 curtains and used 14,000 square yards of fabric costing $72,000. Direct labor totaled 7,600 hours for $83,600. Required: f. Compute the direct materials price and efficiency variances for the quarter. b. Compute the direct manufacturing labor price and efficiency variances for the quarter ( 25 points). 3) River Falls Company uses a flexible budget for its indirect manufacturing costs. For 2020, the company . anticipated that it would produce 27,000 units with 4,800 machine-hours and 8,000 employee days. The costs and cost drivers were to be as follows: During the year, the company processed 26,500 units, worked 8,200 employee days, and had 4,850 marhine-hours. The actual costs for 2020 were: Required: a. Prepare the static budget using the overhead items above and then compute the static-budget variances. b. Prepare the flexible budget using the overhead items above and then compute the flexible-budget variances ( 25 points)