1. As a CPA, one of your clients asks you whether his manufacturing company should include standard costs in their cost accounting system. List at least two reasons for including standard costs in your clients cost accounting system and two potential problems with including standard costs in the clients cost accounting system. Your response should be at least 200 words in length. All sources used, including the textbook, must be referenced; paraphrased and quoted material must have accompanying citations. For problems, be sure to answer all questions and provide all requested information.2.With the following information, compute the throughput time and the manufacturing cycle efficiency:Wait time12.0 daysInspection time0.9 daysProcessing time3.5 daysMove time0.2 daysQueue time2.0 days3.Antique Reproductions, Inc. estimates its manufacturing costs as follows:Variable CostsDirect material $5.50/unitDirect labor 2.40/unitVariable overhead1.00/unitFixed CostsSupervisors salary$15,000Production facility depreciation7,500Other production costs1,400Estimate manufacturing costs for manufacturing levels of 9,000 units, 11,000 units, and 13,000 units.4. Tiger Company makes a product and uses the following standard unit costs for that product:Direct material quantity standard 6 pound per unitDirect material price standard$ 9 per poundDirect labor time standard3.5 hours per unitDirect labor rate standard$12 per hourVariable manufacturing overhead rate standard$ 6 per machine hourFixed manufacturing overhead rate standard$ 5 per machine hourMachine hours standard3 hours per unitGiven the flowing actual cost and usage data, compute the direct labor rate and the direct labor efficiency variances.5.Hacking Tech, LLC provides security services for corporate computer systems and uses the following information:??®??®Fixed Component Per MonthVariable Component Per JobActual Totals for March, 2012??®??®??®??®Revenue??®$420$21,500??®Tech Analysts??® Wages$7,600??®$ 7,600??®Mobile computer lab$2,100??®??® $45$ 4,395??®Office expenses$4,500??®??®??®??® $5$ 4,755??®Insurance$1,200??®$ 1,200??®??®The company uses the number of jobs as its measuring activity (for instance, the mobile computer lab expenses for March are $2,100 fixed costs plus $5 per job variable expenses, for the $4,395 total mobile computer lab expenses for March).??®Prepare a flexible budget performance report showing the company??®s activity variances and revenue and spending variances for March.