Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June:

Required:
Using Exhibit 9-8 as your guide, prepare the Production Department's flexible budget performance report for March, including both the spending and activity variances.
Exhibit 9 - 8: Performance Report Combining Activity Variances with Revenue and Spending Variances

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Fixed Element Variable Element per Liter $12.00 $4.65 $1.40 Actual Total for June $71,540 $29,230 $13,860 $3,270 $2,600 $1,350 $2,590 r Month Revenue Raw materials Wages $5,600 $1,630 $2,600 $1,350 $650 Insurance Miscellaneous $0.35 Rick's Halrstyling Flexible Budget Performance Report For the Month Ended March 31 Revenue and Spending Varlances Activity Actual Results Flexible Varlances Planning (1)-(2) Budget (2)- (3) Budget Client-visits Revenue ($180.00q) Expenses: 1,000 . $194,200 $3,800U $198,000 $18,000 F $180,000 1,100 1,100 Wages and salaries ($65,000+$37.00g) Halrstyling supplles ($1.50q) Client gratultles ($4.10q) Electricity ($1,500+$0.10q) Rent ($28,500) Liablity Insurance ($2,800) Employee health Insurance ($21,300) Miscellaneous ($1,200$0.20q) 106,900 ,200 U 105,700 3,700 U102,000 1,500 4,100 1,600 28,500 2,800 21,300 1,400 4,290 U 163,200 30,510 $13,710 F 16,800 1,620 6,870 1,550 28,500 2,800 22,600 2,130 172,970 1.650 4,510 1,610 28,500 2,800 1,300 U 21,300 1,420 5.480 U 167.490 30 F 150 U 410 U 10 U 2,360 U 60 F 0 0 0 0 0 710 U 20 U Total expense Net operating Income $ 21,230 9,280 U