In: Accounting
Business Solutions's second-quarter 2018 fixed budget
performance report for its computer furniture operations follows.
The $159,800 budgeted expenses include $104,720 in variable
expenses for desks and $22,080 in variable expenses for chairs, as
well as $33,000 fixed expenses. The actual expenses include $34,100
fixed expenses. List fixed and variable expenses
separately.
Fixed Budget | Actual Results | Variances | ||||||||||
Desk sales (in units) | 136 | 142 | ||||||||||
Chair sales (in units) | 69 | 77 | ||||||||||
Desk sales | $ | 179,520 | $ | 186,020 | $ | 6,500 | F | |||||
Chair sales | 37,260 | 42,735 | 5,475 | F | ||||||||
Total expenses | 159,800 | 168,480 | 8,680 | U | ||||||||
Income from operations | $ | 56,980 | $ | 60,275 | $ | 3,295 | F | |||||
Prepare a flexible budget performance report that shows any
variances between budgeted results and actual results.