3 40 points eBook Print Problem 23.7A (Static) Preparing and Using a Flexible Budget (LO23-2, LO23-4, LO23-5, LO23-6) Snells is a retail department store. The following cost-volume relationships were used in developing a flexible budget for the company for the current year. Cost of merchandise sold Selling and promotion expense Building occupancy expense Buying expense Delivery expense Credit and collection expense Administrative expense Totals References Yearly Fixed Expenses $ 210,000 186,000 150,000 Variable Expenses per Sales Dollar $ 0.600 0.082 0.022 0.041 111,000 0.008 72,000 0.002 531,000 $1,260,000 0.003 $ 0.758 Management expected to attain a sales level of $12 million during the current year. At the end of the year, the actual results achieved by the company were as follows. Net sales Cost of goods sold Selling and promotion expense Building occupancy expense Buying expense Delivery expense Credit and collection expense Administrative expense $10,500,000 6,180,000 1,020,000 420,000 594,000 183,000 90,000 564,000 Required: Prepare a schedule comparing the actual results with flexible budget amounts developed for the actual sales volume of $10,500,000. Use the cost-volume relationships given in the problem to compute the flexible budget amounts. ("Under Budget" should be indicated by a minus sign. Enter your answers in dollars, not millions of dollars.)