Brodrick Company expects to produce 21,600 units for the year ending December 31. A flexible budget for 21,600 units of production reflects sales of $626,400; variable costs of $64,800; and fixed costs of $141,000.

QS 08-4 Flexible budget performance report LO P1

Assume that actual sales for the year are $752,500 (27,500 units), actual variable costs for the year are $113,100, and actual fixed costs for the year are $133,000. Prepare a flexible budget performance report for the year. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance.)