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Homework: Chapter 10 Required Homework Requirements Precious Bubbles, Inc. produces multicolored bubble solution used for weddings and other events. The company sold 70,000 bubble kits during March, and its actual operating income was as follows: (Click the icon to view the actual income statement.) The company's flexible budget income statement for March follows: Requirement 1. Prepare the income statement performance report. Note: The master budget was based on expected sales volume of 65,000 bubble kits. (For accounts with a 0 balance, make sure to enter "0" in the appropriate column. Label each variance as favorable ( F ) or unfavorable (U). A variance of zero is considered favorable.) Precious Bubbles, Inc. Income Statement Performance Report