Question: 1. BTS Company made 6,000 bookshelves using 88,000 board feet of wood costing $607,200. The company's direct materials standards for one bookshelf are 16 board feet of wood at $7 per board foot.
(1) Compute the direct materials variances incurred in manufacturing these bookshelves.
(2) Interpret the direct materials variances.
2. How can the manager of handheld devices at an Apple retail store use flexible budgets to enhance performance?
3. What is the main difference between a fixed and a flexible budget?