1. Using text Exhibit 14.4 as a guide, complete the missing parts of the following profit report for December.

2. Based on your completed profit report, determine the dollar amount, and label (Favorable or Unfavorable) each of the following variances for December:

a. Total master (static) budget variance (also referred to as the total operating income variance for the period).

b. Total flexible-budget variance.

c. Sales volume variance, in terms of operating income.

d. Sales volume variance, in terms of contribution margin.

e. Selling price variance.

Using text Exhibit 14.4 as a guide, complete the missing parts of the following profit report for December. (If a variance has no amount, select "None" in the corresponding dropdown cell.)

	Actual results	Flexible-budget variances		Flexible budget	Sales volume variances		Master (static) budget
Unit sales	110,000						99,000
Sales	$550,000						$495,000
Variable costs	418,000						297,000
Contribution margin	$132,000						$198,000
Fixed costs	73,000						85,000
Operating income	$59,000						$113,000

2. Based on your completed profit report, determine the dollar amount, and label (Favorable or Unfavorable)) each of the following variances for December: (If a variance has no amount, select "None" in the corresponding dropdown cell.)

a. Total master (static) budget variance (also referred to as the total operating income variance for the period).

b. Total flexible-budget variance.

c. Sales volume variance, in terms of operating income.

d. Sales volume variance, in terms of contribution margin.

e. Selling price variance.

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a.	Total master (static) budget variance
b.	Total flexible-budget variance
c.	Sales volume variance, in terms of operating income
d.	Sales volume variance, in terms of contribution margin
e.	Selling price variance