The manager's claim that the manufacturing team successfully controlled costs is misleading. This assessment is based on a comparison with the master budget, which was intended for $50000$ units. However, actual sales only reached $45000$ units. Consequently, the variable manufacturing costs reflect this lower activity level, resulting in costs that are lower than initially budgeted. For a more accurate evaluation of the team's performance, we must compare the actual results against a flexible budget adjusted for the sales volume of $45000$ units. This approach will provide a clear and precise understanding of the team's cost management effectiveness.