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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

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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 7.700 11,000 3,300 Favorable $1,848 $2,640 Sales in units Variable expenses Sales commissions Advertising expense Travel expense Free samples given out Total variable 924 990 $792 Unfavorable 66 Unfavorable 858 Unfavorable 3,542 4,400 1,848 1.210 638 Favorable 8,162 9.240 1,078 Unfavorable Fixed expenses Rent 1,400 1,400 -0- Neither Favorable nor Unfavorable Sales salaries 1,000 1,000 900 900 400 400 Office salaries Depreciation-autos (sales staff) Total fixed Total expenses -0- Neither Favorable nor Unfavorable -0- Neither Favorable nor Unfavorable -0- Neither Favorable nor Unfavorable -O- Neither Favorable nor Unfavorable $1,078 Unfavorable 3,700 3,700 $11.862 $12.940 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 $ $

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