Requirement 1. What is the static budget number of setups for 2020? Determine the formula, then compute the static budget number of setups. Static budget number of setups Requirement 2. What is the flexible-budget number of setups for 2020? Determine the formula, then compute the flexible-budget number of setups. Flexible budget number of setups Requirement 3. What is the actual number of setups in 2020? Determine the formula, then compute the actual number of setups. Actual = number of setups Requirement 4. Assuming fixed setup overhead costs are allocated using setup-hours, what is the predetermined fixed setup overhead allocation rate? First, determine the formula and compute the static budget number of hours. Static budget = number of hours Now determine the formula and compute the predetermined fixed setup overhead allocation rate. Fixed overhead rate Requirement 5. Does TTS's charge of $211 cover the budgeted variable overhead cost of an order? The budgeted total cost? (Abbreviation: OH = Overhead.) Begin by determining the formula and computing the budgeted variable overhead cost of an order. Budgeted variable OH cost of a setup Next, determine the formula and compute the budgeted fixed overhead cost of an order. Budgeted fixed OH cost of a setup The charge of $211 the budgeted incremental cost of a setup the budgeted full costRequirement 6. For direct variable setup costs, compute the price and efficiency variances. Begin by calculating the following amounts for the variable overhead. Actual input Actual costs Flexible incurred budgeted rate budget Variable overhead Now compute the price and efficiency variances using the amounts you calculated above. (Label the variance as favorable (F) or unfavorable (U).) Price Efficiency variance variance Variable OH Requirement 7. For fixed setup overhead costs, compute the spending and the production-volume variances. Same budgeted lump sum Actual costs regardless of Allocated incurred output level overhead Fixed overhead Now compute the spending variance and production-volume variances using the amounts you calculated above. (Label the variance as favorable (F) or unfavorable (U).) Spending Production-volume variance variance Fixed overhead Requirement 8. What qualitative factors should TTS consider before accepting or rejecting a special order? O A. Rejecting an order may have implications for future orders (i.e., groups would be reluctant to order tote bags from this supplier again). TTSshould consider factors such as prior history with the customer and potential future sales. O B. If a bag is relatively new, TTS might consider running a full batch and holding the extra bags in case of a second special order or just hold the extra bags until next semester. O C. If the special order comes at heavy volume times, TTS should look at the opportunity cost of filling it, i.e., accepting the order may interfere with or delay the production of other bags. O D. All of the above.The Torti Shop (TTS) specializes in making fraternity and sorority tote bags for the college market. TTS produces bags in batch sizes of 93. For rush orders, TTS will produce smaller batches for an additional charge of $211 per setup. Budgeted and actual costs for the production process for 2020 are as follows: Eff (Click the icon to view the budgeted and actual costs.) Read the requirements. - X X Data table Requirements Requ Begin Static-Budget 1. What is the static budget number of setups for 2020? Amounts Actual Results 2. What is the flexible-budget number of setups for 2020? Number of bags produced 115,320 93,000 3. What is the actual number of setups in 2020? 93 4. Assuming fixed setup overhead costs are allocated using setup-hours, what is the Average number of bags per setup predetermined fixed setup overhead allocation rate? Hours to set up machines 7.5 5. Does TTS's charge of $211 cover the budgeted variable overhead cost of an order? Next, Direct variable cost per setup-hour 29 3 35 The budgeted total cost? 6. For direct variable setup costs, compute the price and efficiency variances. Total fixed setup overhead costs 17.350 $ 20.160 7. For fixed setup overhead costs, compute the spending and the production-volume variances. 8. What qualitative factors should TTS consider before accepting or rejecting a special order? The Print Done Requ Begin by Calcul Print Done Actual input