7,300 cases 3 4 Budgeted sales in cases Packaging cost per case..... $ Shipping expense per case..... $ Sales commission expense .... Salaries expense $ Office rent... $ Depreciation. Insurance expense Office supplies expense $ 2% of sales price 6,500 3,900 3,100 $ $ 2,300 1,000 $ 24,600 $ 32,400 $ 4,748 $ 8,000 Packaging cost.. Shipping expense Sales commission expense Salaries expense.. Office rent .... Depreciation .... Insurance expense Office supplies expense $ $ 3,900 $ $ 3,100 1,500 1,100 $ Dream Muffins sells its muffins to restaurants and coffee houses for an average selling price of $29 per case. The following information relates to the budget for Dream Muffins for this year (all figures are annual totals unless otherwise noted): (Click the icon to view the budget information.) During the year, Dream Muffins actually sold 7,900 cases, resulting in total sales revenue of $237,400. Actual expenses (in total) from this year are as follows: Click the icon to view the actual expenses.) Requirement Construct a flexible budget performance report for Dream Muffins for the year. Be sure to indicate whether each variance is favorable (F) or unfavorable (U). (Enter the variances as positive numbers. Label each variance as favorable (F) or unfavorable (U). If the variance make sure enter in a "0". A variance of zero is considered favorable.) is CE Dream Muffins Flexible Budget Performance Report - Sales and Operating Expenses For the Year Ended December 31 Flexible Flexible Actual Budget Budget Volume 7,900 cases Variance 7,900 cases Variance Master Budget 7,300 cases Sales revenue ($29 per case)