Question 4: Following is budgeted and actual information for the operations of Sidewalk Inc. which reconstructs the sidewalks in NY. The city breaks the existing sidewalk and Sidewalk Inc. installs the new sidewalk. Units are measures as square feet. Direct materials are cement. The company expects to use 7 pounds of cement and 5 hour of labor for each square foot. The information pertains to the month of July. The company allocates both fixed and variable overhead based on direct labor hours. (Static) Budget Actual Production in units 800 980 Direct materials 7 pounds per unit 9 pounds per unit at $30/pound at $28/pound Direct labor 5 hours per unit 4.5 hours per unit at $17 per hour at $16 per hour Variable manufacturing OH $5,000 $6, 125 Fixed manufacturing OH $63,000 $63,000 Required: 1. Calculate the total (static-budget) variance for direct materials costs. 2. Calculate the flexible budget variance for direct materials. Interpret your finding. 3. Calculate the efficiency variance and the price variance for direct materials. 4. Calculate the efficiency variance and the price variance for direct labor. 5. How much of the flexible budget variance is due to the fact that the company produced more units than planned