Preparing a Flexible Budget for Performance Reporting Suppose you receive the following performance report from the accounting department for your first month as plant manager for a new company. Your supervisor, the vic performance in the area of cost control. Units Actual 10,000 Budgeted Variance 12,000 2,000 U Costs: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Total costs $717,600 $864,000 $146,400 F $829,200 $1,036,800 $207,600 F $432,000 $518,400 $86,400 F $900,000 $864,000 $36,000 U $2,878,800 $3,283,200 $404,400 F REQUIRED Prepare a variance analysis Note: Do not use negative signs with your answers. Units (in cases) Costs: Static Budget Activity Variance 12,000 Flexible Budget Flexible Budget Variance 10,000 Actual 2,000 x Static (Total) Variance Direct materials $ 864,000 Direct labor $ 1,036,800 $ $ 146,400 x F 207,600 x F 864,000 x $ 146,400 x F 1,036,800 * $ 207,600 x F Variable overhead $ 518,400 $ 86,400 F 518,400 x $ 86,400 x $ Fixed overhead $ 864,000 $ 36,000 x $ 864,000 $ 36,000 U Total costs $ 3283200 $ 476400 F 3283200 $ 404400 F 717,600 $ 829,200 $ 432,000 900,000 2878800 $ 146,400 F 207,600 F 86,400 F $ 36,000 U 404400 F