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.

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 8,300 11,000 2,700 Favorable Variable expenses Sales commissions Advertising expense Travel expense $1,992 830 3,320 1.992 8.134 $2,860 1.210 3,850 1.430 9,350 $868 Unfavorable 380 Unfavorable 530 Unfavorable 562 Favorable 1.216 Unfavorable Free samples given out Total variable Fixed expenses Rent Sales salaries Office salaries 1,100 1,100 -- Neither Favorable nor Unfavorable 1,200 1,200 -- Neither Favorable nor Unfavorable 900 900 -- Neither Favorable nor Unfavorable 400 400 -0- Neither Favorable nor Unfavorable 3,600 3.600 - O- Neither Favorable nor Unfavorable $11,734 $12.950 $1,216 Unfavorable Depreciation-autos (sales staff) 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