Business Solutions's second-quarter 2022 fixed budget performance report for its computer furniture operations follows. The $171,650 budgeted expenses include $113,880 in variable expenses for desks and $20,770 in variable expenses for chairs, as well as $37,000 of fixed expenses. Actual fixed expenses total $39,000.

	Fixed Budget	Actual Results	Variances
Desk sales (in units)	146	152
Chair sales (in units)	67	75
Desk sales	$ 182,500	$ 188,480	$ 5,980	F
Chair sales	36,850	42,375	5,525	F
Total expenses	171,650	181,170	9,520	U
Income	$ 47,700	$ 49,685	$ 1,985	F

Required:

Prepare a flexible budget performance report that shows variances between budgeted results and actual results.

Note: Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.