Please help me with creating a flexible budget based on the follwing information.

The Check figures are...

M11: Palo Activity M11: Palo Activity You have been called in as a consultant for Palo, Inc a manufacturer of shower radios. Although Palo's management is very happy they reported $2,478 more in net operating income for the month than expected, they want to know why net operating income is higher especially since demand for the radios dropped. Information regarding the most recent month follows: Budget Actual Units 11,000 10,500 440,000 $ Sales Variable Expenses 430,500 Variable Cost of Goods Sold $352,000 33 339,297 34,125 $373,422 $33,000 S Variable Selling expenses Total Variable Expenses Contribution Margin Fixed Expenses $385,000 55,000 $ 30,000 12,000 42,000 13,000 $ 29,400 12,200 41,600 15,478 Fixed Cost of Goods Sold Fixed Selling and Administration Total Fixed Expenses Net Operating Income(NOI) Palo Inc. uses a standard costing system and information regarding the standards for variable product costs are given below Standard Cost $10.00 $21.00 $1.00 $32.00 Standard Information Price/Rate Quantity 2.0 Pounds 1.5 Hours 0.5 Mach hrs $5.00 per pound Direct Materials Direct Labor Variable manufacturing Overhead Total Standard Variable Costs $14.00 per hour $2.00 per MH Additional Information: Actual quantity of materials used and purchased is 23,100 pounds Actual amount spent on direct materials is $117,117 Average rate paid for direct labor for the month was $14.40 per hour . The only variance in variable manufacturing overhead was due to activity level Hint: You should be preparing a performance report as well as examining the direct material and direct labor variances. In order to do this, you will need to break apart variable cost of goods sold into its 3 individual components