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 9,000 600 Favorable 8,400 Variable expenses $2,352 $2,160 $192 Favorable Sales commissions 1,008 720 288 Favorable Advertising expense 3,696 3,600 96 Favorable Travel expense Free samples given out 1,080 432 Favorable 1,512 Total variable 8,568 7,560 1,008 Favorable Fixed expenses -0- Neither Favorable nor Unfavorable Rent 1,100 1,100 Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Sales in units 600 Favorable 8,400 9,000 Variable expenses $2,352 $2,160 $192 Favorable Sales commissions Advertising expense 1,008 720 288 Favorable 3,696 3,600 96 Favorable Travel expense 1,080 432 Favorable 1,512 Free samples given out 8,568 7,560 1,008 Favorable Total variable Fixed expenses -0- Neither Favorable nor Unfavorable 1,100 1,100 Rent 1,200 -0- Neither Favorable nor Unfavorable Sales salaries 1,200 Office salaries 700 -0- Neither Favorable nor Unfavorable 700 -0- Neither Favorable nor Unfavorable Depreciation-autos (sales staff) 400 400 Total fixed 3,400 -0- Neither Favorable nor Unfavorable 3,400 $11,968 $10,960 $1,008 Favorable 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 Actual Budget nor Unfavorable $ 40 $