4 Nina Company prepared the following fixed budget for July using 7,740 units for budgeted sales. Actual sales were 7.440 units and actual costs are shown below. Fixed Budget Variable Amount Total Fixed Fixed Budget Actual Results For Month Ended July 31 per Unit Cost (7,740 units) (7,440 units) Sales $ 100 $ 774,000 $ 760,640 Variable costs Direct materials 35 270,900 275,440 Direct labor 15 116,100 113,200 Indirect materials 30,960 29,160 Sales commissions 11 85, 140 80,920 Total variable costs 65 503, 100 498,720 Contribution margin $ 35 $ 270,900 $ 261,920 Fixed costs Depreciation Machinery $ 70,480 70,480 70,480 Supervisor salary 41,820 41,820 43,040 Insurance 10,360 10,360 10,360 Depreciation office equipment 7,640 7,640 7,640 Administrative salaries 33,900 33,900 30,760 Total fixed costs $ 164,200 164,200 162,280 Income $ 106,700 $ 99,640 Prepare a flexible budget performance report for July at activity level of 7,440 units. Show variances between budgeted and actual amounts, (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) NINA COMPANY Flexible Budget Performance Report Flexible Actual Budget Results (7,440 units) (7,440 units) For Month Ended July 31 Variances Favorable/Unfavorable Prepare a flexible budget performance report for July at activity level of 7,440 units. Show variances between budgeted and actual amounts (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) NINA COMPANY Flexible Budget Performance Report Flexible Actual Budget Results (7,440 units) (7,440 units) For Month Ended July 31 Variances Favorable/Unfavorable Sales Variable costs Direct materials Direct labor Indirect materials Sales commissions Total Variable Costs Contribution margin Fixed costs Depreciation --Machinery Supervisory salary Insurance Depreciation Office equipment Administrative salaries Total Fixed Costs Income