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AllTalk Technologies manufactures capacitors for cellular base stations and other communications applications. The company's July 2018 flexible budget shows output levels of 6,500,8,000, and 10,000 units. The static budget was based on expected sales of 8,000 units. The company sold 10,000 units during July. Its flexible budget and actual operating income was as follows: E: (Click the icon to view the flexible budget.) 3 (Click the icon to view the income statement.) Read the requirements 3 4 (3) - (5) Data Table 2. (1)-(3) Flexible Budget Variance Budget Amounts Per Unit Sales Volume Actual Results Flexible Budget Static Budget Variance ance Ince Sales Revenue AllTalk Technologies Income Statement For the Month Ended July 31, 2018 Sales Revenue $ 247,000 Variable Expenses 115,000 Contribution Margin 132,000 53,500 Fixed Expenses 78,500 Operating Income Variable Expenses Contribution Margin Fixed Expenses Operating Income Choose from any list or enter any number in the input fields and then click Check Answer. Print Done 5 parts remaining Clear All Check Answer P23-25A (similar to) Ruestion Help i Data Table e static budget was AllTalk Technologies manufactures capacitors for cellular base stations and other communications applications based on expected sales of 8,000 units. The company sold 10,000 units during July. Its flexible budget and act (Click the icon to view the flexible budget.) (Click the icon to view the income statement.) Re * Requirements - X 1. Prepare a flexible budget performance report for July. 2. What was the effect on AllTalk's operating income of selling 2,000 units more than the static budget level of sales? 3. What is AllTalk's static budget variance for operating income? 4. Explain why the flexible budget performance report provides more useful information to AllTalk's managers than the simple static budget variance. What insights can AllTalk's managers draw from this performance report? AllTalk Technologies Flexible Budget For the Month Ended July 31, 2018 Budget Amount per Unit 6,500 24 $ 156,000 $ 11_ 71,500 84,500 52,000 $ 32,500 $ Units Sales Revenue 8,000 192,000 $ 8 8,000 10,000 240,000 110,000 Variable Expenses Contribution Margin Fixed Expenses 104,000 52.000 130,000 52.000 Print Done 52,000 $ 78,000 Operating Income Operating Income Print Done Choose from any list or enter any number in the input fields and then click Check Answer. 5 parts Clear All Check