Data for Gundy Company are given in BE21-4. In March 2012, the company incurs the following costs in producing 100,000 units: direct materials $425,000, direct labor $590,000, and variable overhead $805,000. Actual fixed costs were equal to budgeted fixed costs. Prepare a flexible budget report for March. Were costs controlled?

Data from BE21-4

Gundy Company expects to produce 1,200,000 units of Product XX in 2012. Monthly production is expected to range from 80,000 to 120,000 units. Budgeted variable manufacturing costs per unit are: direct materials $4, direct labor $6, and overhead $8. Budgeted fixed manufacturing costs per unit for depreciation are $2 and for supervision are $1. Prepare a flexible manufacturing budget for the relevant range value using 20,000 unit increments.