SallyAnn, Inc. designs and manufactures T-shirts. It sells its T-shirts to brand-name clothes retailers in lots of one dozen. SallyAnn's May 2013 static budget and actual results for direct inputs are as follows:

SallyAnn has a policy of analyzing all input variances when they add up to more than 10% of the total cost of materials and labor in the flexible budget, and this is true in May

2013.

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."

Requirement 1. Calculate the direct materials and direct manufacturing labor price and efficiency variances in May

20132013.

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?

Begin by calculating the direct materials and direct manufacturing labor price and efficiency variances in May

20132013.

Complete the actual results, price variance, and cost columns, then the efficiency variance and flexible budget columns. Label each variance as favorable or unfavorable. (Round all answers to the nearest cent.)

Actual Input Qty x Budgeted Price Actual Price May 2013 Units Direct materials Direct labor Total variance Results Variance Actual Input Qty x Budgeted Price Actual Price May 2013 Units Direct materials Direct labor Total variance Results Variance