Budget Performance Report for a Cost Center Sneed Industries Company sells vehicle parts to manufacturers of heavy construction equipment. The Crane Division is organized as a cost center. The budget for the Crane Division for the month ended August 31, 20Y6, is as follows (in thousands): Customer service salaries $ 375,000 Insurance and property taxes 75,000 Distribution salaries 712,500 Marketing salaries 450,000 Engineer salaries 1,110,000 Warehouse wages 420,000 Equipment depreciation 232,500 Total $ 3,375,000 During August, the costs incurred in the Crane Division were as follows: Customer service salaries $ 515,200 Insurance and property taxes 68,740 Distribution salaries 657,300 519,400 Marketing salaries Engineer salaries 1,033,550 Warehouse wages 384,860 Equipment depreciation 217,000 Total $ 3,396,050 Required: Required: 1. Prepare a budget performance report for the director of the Crane Division for the month of August. Enter amounts in thousands (same format as the data above). If an amount box does not require an entry, leave it blank. Sneed Industries Company Budget Performance Report-Director, Crane Division For the Month Ended August 31, 2016 Budget Actual Over Budget (Under) Budget Customer service salaries Insurance and property taxes Distribution salaries Marketing salaries Engineer salaries Warehouse wages Equipment depreciation Total $ Feedback Check My Work Calculate the difference between the budget and actual amounts, and determine whether the actual amount is over or under the budget amounts. 2. Given the data, all of the following could explain the over-budget areas except: an increase in distribution labor hours