As the new accountant for Cohen & Company, you have been asked to provide a succinct analysis of financial performance for the year just ended. You obtain the following information that pertains to the company$$s sole product:

Actual Master Budget

Units sold $35,00040,000$

Sales $ $385,000$ $ $460,000$

Variable costs $215,000275,000$

Fixed costs $148,125140,000$

Required:

$1.$ What was the actual operating income for the period?

$2.$ What was the company$$s master budget operating income for the period?

$3.($a$)$ What was the total master budget variance, in terms of operating income, for the period? $($b$)$ Is this variance favorable or unfavorable? $($If a variance has no amount, select "None" in the corresponding dropdown cell.$)$

$4.$ The total master budget variance for a period can be decomposed into a total flexible budget variance and a sales volume variance. $($a$)$ What was the total flexible$-$budget variance for the period? $($b$)$ Was this variance favorable or unfavorable? $($c$)$ What was the sales volume variance for the period? $($d$)$ Was this variance favorable or unfavorable? $($If a variance has no amount, select "None" in the corresponding dropdown cell.$)$