Exercise 21-3 Preparing a flexible budget performance report LO P1

Solitaire Companys fixed budget performance report for June follows. The $300,000 budgeted expenses include $272,000 variable expenses and $28,000 fixed expenses. Actual expenses include $36,500 fixed expenses.

	Fixed Budget			Actual Results			Variances
Sales (in units)		8,000			10,400
Sales (in dollars)	$	400,000		$	520,000		$	120,000	F
Total expenses		300,000			364,000			64,000	U
Income from operations	$	100,000		$	156,000		$	56,000	F

Prepare a flexible budget performance report showing any variances between budgeted and actual results. List fixed and variable expenses separately.

SOLITAIRE COMPANYFlexible Budget Performance ReportFor Month Ended June 30Flexible BudgetActual ResultsVariancesFav./Unf.Contribution margin