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 1,200 Favorable Actual Budget 7,800 9,000 $2,160 810 $1,560 1,092 3,276 1,170 3,600 Sales in units Variable expenses Sales commissions Advertising expense Travel expense Free samples given out Total variable Fixed expenses Rent Sales salaries Office salaries Depreciation-autos (sales staff) Total fixed $600 Unfavorable 282 Favorable 324 Unfavorable 90 Favorable 552 Unfavorable 1,080 7,098 7,650 1,900 1,400 600 1,900 1,400 600 -O- Neither Favorable nor Unfavorable -O- Neither Favorable nor Unfavorable -0- Neither Favorable nor Unfavorable -O- Neither Favorable nor Unfavorable -O- Neither Favorable nor Unfavorable $552 Unfavorable 500 500 4,400 $11,498 4,400 $12,050 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 Budget Actual Sales in Units Variable Expenses Sales Commissions $ $ $ Advertising Expense Travel Expense Free Samples Total Variable Expenses Fixed Expenses Rent Sales Salaries Office Salaries Depreciation-Sale Staff Autos Total Fixed Expenses 4 Total Expenses $ $ $ SORIA COMPANY Selling Expense Flexible Budget Report Clothing Department For the Month Ended October 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable get Actual $ $ Unfavorable Favorable A Favorable Favorable Favorable i Neither Favorable nor Unfavorable i Neither Favorable nor Unfavorable i Neither Favorable nor Unfavorable i Neither Favorable nor Unfavorable i Neither Favorable nor Unfavorable $ $ Favorable