Budget Report Month Ended October 31, 2020 Difference Favourable Unfavourable Neither Favourable nor Unfavourable Budget Actual Sales in units 7.900 11,000 3,100 Favourable Variable costs Sales commissions $1,896 $2.970 $1,074 Unfavourable Advertising expense 1,106 770 336 Favourable Travel expense 3,318 3.850 532 Unfavourable Free samples given out 1,185 1.210 25 Unfavourable Total variable costs 7,5058,800 1,295 Unfavourable Fixed costs Rent 1.200 1.000 1.200 1.000 O-Neither Favourable nor Unfavourable -- Neither Favourable nor Unfavourable Sales salaries Office salaries 700 700 -- Neither Favourable nor Unfavourable Depreciation-vehicles (sales staff) Total fixed costs 400 400 -0-Neither Favourable nor Unfavourable 3,300 3,300 -- Neither Favourable nor Unfavourable $10,805 $12,100 $1,295 Unfavourable Total costs As a result of this budget report, Kajsa was called into the president's office and congratulated on her fine sales performance. She was reprimanded, however, for allowing her costs to get out of control. Kajsa knew something was wrong with the performance report that she had been given. However, she was not sure what to do and has come to you for advice (a) Prepare a budget report based on flexible budget data to help Kajsa. (Ust variable costs before fixed costs) DUNHAM COMPANY Selling Expense Flexible Budget Report Clothing Department For the Month Ended October 31, 2020 Difference Favourable Unfavourable Neither Favourable nor Unfavourable Budget Budget Actual nor Unfavourable (b) Should Kajsa have been reprimanded? have been reprimanded. DP