4 Actual (based on actual orders for 470,000 units) $4,988,000 Master Budget (based on budgeted orders for 520,000 units) $5,200,000 6.66 points Sales revenue Less Variable costs Materials Direct labor eBook Print Variable overhead Variable marketing and administrative Total variable costs Contribution margin Less Fixed costs Manufacturing overhead Marketing Administrative Total fixed costs 1 References Operating profits 1,540,000 296,000 1,560,000 364,000 676,000 520,000 676,400 508,000 $3,020,400 $3,120,000 $1,967,600 $2,080,000 962,000 308,000 182,000 $1,452,000 992,800 308,000 224,000 $1,524,800 $ 442,800 $ 628,000 Required: Prepare a profit variance analysis for Osage, Inc. (Do not round intermediate calculations. Indicate the effect of each varlance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.) Sales revenue Actual Manufacturing Variances $ 4,988,000 OSAGE, INC. Profit Variance Analysis Marketing and Administrative Variances Variable costs: Materials Direct labor Variable overhead Variable marketing and administrative Total variable costs Contribution margin Fixed costs: Manufacturing overhead Marketing Administrative Total fixed costs Operating profits 1,540,000 296,000 676,400 508,000 $ 3,020,400 $ 1,967,600 992,800 308,000 224,000 $ 1,524,800 $ 442,800 Flexible Sales Price Variance Sales Activity Variance Budget Master Budget $ 5,200,000 1,560,000 364,000 676,000 520,000 $ 3,120,000 $ 2,080,000 962,000 308,000 182,000 $ 1,452,000 S 628,000