PROBLEMA (17%) ABC Corporation manufactures lamps It has set up the following standards per finished unit for direct rials and direct manufacturing labor Direct materials 2 h at $7.50 per Ib Direct manufacturing labor: 0.3 hour at 590 per hour $15.00 $27.00 The member of finished units produced and sold budgeted for January 2017 was 20,000 units; 15000 units were actually produced and sold in January 2017. Actual results in January 2017 were as follows: Direct materials used: 2.2 lb. x 15,000-33,000 lbs @ $7.00/lb. Direct manufacturing labor: 0.32 hrs x 15,000-4,800 hrs @59/hr 95 Assume that there was no beginning inventory of either direct materials or finished units. The following data are for January 2017: Number of Lamp sold Selling price/unit Variable cost per unit Direct material Direct labor Fixed cost Budgeted 20,000 units $80 (2 lbs x $7.50-$15) (0.3 hrs x $90-$27) $240,000 Actual 15,000 $85 (2.2 lbs x $7-$15.40) (0.32 hrs x $95 $30.40) $240,000 During the month, materials purchased amounted to 40,000 lb. @$7.00, at a total cost of $280,000. Input price variances are isolated upon purchase. Input-efficiency variances are isolated at the time of usage. Required: 1. Compute the Static-Budget variance, Flexible-Budget variance, and Sales-volume variance for January 2018 in the table below: (6%) Units sold Revenue Variable costs DM DL Total variable costs Contribution margin Fixed costs Operating income Flexible- Budget Result Actual Variances Flexible Budget Sales Volume Variances Static Budget Static Budget Variance Conta 2. Com