As sales manager, Joe Batista was given the following static budget report for selling expenses in the Clothing Department of Soria Company for the month of October SORIA COMPANY Clothing Department Budget Report For the Month Ended October 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Sales in units 8,400 9,000 600 Favorable Variable expenses Sales commissions Advertising expense $1,680 1,176 4,032 1,680 $2,430 810 3.150 990 $750 Unfavorable 366 Favorable 882 Favorable 690 Favorable Travel expense Free samples given out Total variable Fixed expenses 8,568 7,380 1,188 Favorable Rent Sales salaries Office salaries Depreciation-autos (sales staff) 1,800 1,800 -- Neither Favorable nor Unfavorable 1,100 1,100 -- Neither Favorable nor Unfavorable 600 600 -- Neither Favorable nor Unfavorable 500 500 -- Neither Favorable nor Unfavorable 4,000 4,000 -- Neither Favorable nor Unfavorable $12.568 $11.380 $1,188 Favorable Total fixed Total expenses As a result of this budget report, Joe was called into the president's office and congratulated on his fine sales performance. He was reprimanded, however, for allowing his costs to get out of control. Joe knew something was wrong with the performance report that he had been given. However, he was not sure what to do, and comes to you for advice. Prepare a budget report based on flexible budget data to help Joe. (List variable costs before fixed costs.) SORIA COMPANY Selling Expense Flexible Budget Report Clothing Department For the Month Ended October 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Free Samples Variable Expenses Total Expenses Sales in Units Total Fixed Expenses Travel Expense Office Salaries Rent Sales Salaries Advertising Expense Fixed Expenses Depreciation-Sale Staff Autos Total Variable Expenses Sales Commissions e Textbook and Media