Assembly Department Cost Report For the Month Ended March 31 Actual planning Results Budget Variances Machine - hours 25,000 30,000 Variable costs: Supplies $ 8,100 $ 8,700 $ 600 F Scrap 26,600 28,500 1,900 F Indirect materials 79,400 93,000 13,600 F Fixed costs: wages and salaries 72,700 69,000 3,700 Equipment depreciation 99,000 99,000 Total cost $285,800 $298,200 $12, 400 F After receiving a copy of this cost report, the supervisor of the Assembly Department stated, "These reports are super. It makes me feel really good to see how well things are going in my department. I can't understand why those people upstairs complain so much about the reports For the last several years, the company's marketing department has chronically failed to meet the sales goals expressed in the company's monthly budgets. Required: 1. The company's president is uneasy about the cost reports, Identify at least two reasons. 2. What kind of reports should be used to give better insight into how well departmental supervisors are controlling costs? 3. Complete the new performance report for the quarter, based on Flexible Budget Performance approach. 4. Were costs well controlled in March