The University of Stanton offers an extensive continuing education program in many cities throughout the state. For the convenience of its faculty and administrative staff and to save costs, the university employs a supervisor to operate a motor pool. The motor pool operated with 20 vehicles until February, when an additional automobile was acquired. The motor pool furnishes gasoline, oil, and other supplies for its automobiles. A mechanic does routine maintenance and minor repairs. Major repairs are done at a nearby commercial garage.
Each year, the supervisor prepares an operating budget, which informs the university administration of the funds needed for operating the pool. Depreciation (straight-line) on the automobiles is recorded in the budget to determine the cost per mile.
The following schedule presents the annual budget approved by the university, with March's actual costs compared to one twelfth of the annual budget:

The annual budget was based on the following assumptions:
(a) 20 automobiles in the pool
(b) 30,000 miles per year per automobile
(c) 16 miles per gallon of fuel usage for each automobile
(d) $1.40 cost per gallon of gasoline
(e) $.006 per mile for oil, minor repairs, parts, and supplies
(f) $135 per automobile for outside repairs
The supervisor is unhappy with the monthly report comparing budgeted and actual costs for March, claiming it presents an unfair picture of performance.
Required:
Prepare a performance report showing budgeted amounts, actual costs, and monthly variations for March, using flexible budgeting. Include the cost per mile rounded to four decimal places.

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University Motor Pool Budget Report for March One-Month March Budget 5,323 Oil, minor repairs, parts, and supplies. Outside repairs Salaries and benefits...26.400 Depreciation 2,200 $121.200 $10.100 $11088 988) Total miles Cost per mile Number of automobiles... 63,000