Beech Company produced and sold 109,000 units in May. For the level of production in May, budgeted amounts were sales, $1,350,000; variable costs, $849,000; and fixed costs, $290,000. The following actual results are available for May. 

 

Prepare a flexible budget performance report for May. Indicate whether each variance is favorable or unfavorable.

Sales (109,000 units) Variable costs Fixed costs Actual Results $ 1,315,000 821,500 290,000