Problem 2 (33 points) Sore Saddles has prepared the performance report shown below. A production volume of 5,000 saddles was originally budgeted, as shown in the two "Budgeted Costs" columns. However, the actual production achieved for the year was 6,000 saddles, and the "Actual Costs Incurred" column is for this actual production of 6,000 saddles. Budgeted Costs Actual for 5,000 Units Per Unit Total Costs Incurred Difference Variable manufacturing costs: Direct materials $ 30.00 $150,000 $171,000 $21,000 Direct labor 48.00 240,000 261,500 21,500 Indirect labor 15.00 75,000 95,500 Supplies used 9.00 Total variable $102.00 45,000 $510,000 48,400 20,500 3,400 $ 576,400 $ 66,400 U Fixed manufacturing costs: Rent $45,000 $45,000 $0 Total fixed Supervisor salaries Depreciation and other Total manufacturing costs 120,000 120,000 0 75,000 75,000 0 $ 240,000 $ 240,000 $0 $750,000 $ 816,400 $66,400 U Please prepare a corrected flexible budget performance report.