Baird Company has provided the following for the year. $505,000 190,000 46,000 2,700 16,000 24,000 1,600 790 Budget Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense Variances Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense 7,900 U 4,300 F 2,500 U 1,200 U 270 F 390 F 100 U 180F BAIRD COMPANY Internal Income Statement Budget Actual Variance Effect Sales Variable expenses: Product costs Selling expenses Other expenses 0 0 Contribution margin Fixed expenses: Product costs Selling expenses Other expenses 0 0 Operating income Interest expense Net income 0 $ 0