Business Solutions's second-quarter 2022 fixed budget performance report for its computer furniture operations follows. The $167,460 budgeted expenses include $115,500 in variable expenses for desks and $15,960 in variable expenses for chairs, as well as $36,000 of fixed expenses. Actual fixed expenses total $37,700.

	Fixed Budget	Actual Results	Variances
Desk sales (in units)	154	160
Chair sales (in units)	57	65
Desk sales	$ 197,120	$ 203,200	$ 6,080	F
Chair sales	33,630	39,325	5,695	F
Total expenses	167,460	176,320	8,860	U
Income	$ 63,290	$ 66,205	$ 2,915	F

Required: Prepare a flexible budget performance report that shows variances between budgeted results and actual results. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.)

BUSINESS SOLUTIONS
Flexible Budget Performance Report
For Quarter Ended June 30	Flexible Budget	Actual Results	Variance	Favorable/Unfavorable
Desk sales
Chair sales
Variable expenses
Contribution margin
Fixed expenses
Income