Cel Base Technologies manufactures capacitors for celular base stations and other communications applications. The company's July 2016 flexible budget shows output levels of 5,500, 7,000, and 9,000 units. The static budget was based on expected sales of 7,000 units. (Cck the icon to view the flexible budget.) The company sold 9,000 units during July, and its actual operating income was as follows Data Table (Click the icon to view the income statement) Read the requirements CellBase Flexible Budget Performance Report For the Month Ended July 31, 2016 Flexible Budget For the Month Ended July 31, 2016 Budget Budget Amounts Per Unit Flexible Budget Variance Sales Amount Flexible Static Actual Results 9,000 23 S 126,500 S 161.000 S 207,000 90,000 117,000 57,000 $ 14,500 S 34,000 S60,000 Budget 5,500 7,000 Units Sales Revenue Variable Expenses Contribution Margin Fixed Expenses Operating Income Units Sales Revenue Variable Expenses Contribution Margin Fxed Expenses Operating Income 55.000 70,000 71,500 57,000 91,000 57,000 Print Done Choose from any list or enter any number in the input fields and then click Check Answer Clear All Check Answer Ce Base Technologies manufactures capacitors for cellular base stations and other of 7,000 units s applications. The company's July 2016 fexible budget shows output levels of 5,500, 7,000, and 9,000 units. The static budget was based on expected sales Cick the icon to view the fexible budget.) Data Table The company sold 9000 units during July, and its actual operating income was as folloWS (Cick the icon to view the income statement) Read the recuirements CellBase T Flexible Budget Performance Report For the Month Ended July 31, 2016 Income Statement For the Month Ended July 31, 2016 Sales Revenue Variable Expenses Contribution Margin Fixed Expenses Operating Income S 214,000 95.200 Flexible FlexibleVariance Budget Amounts Per Unit Sales olume udget 118,800 58,000 Static Actual Results Variance S 60,800 Units Sales Revenue Variable Expenses Contibution Margin Fixed Expenses Operating Income Requirements 1. 2. Prepare a flexible budget performance report for Juty What was the effect on CellBase's operating income of selling 2,000 units more than the static budget level of sales? 3. What is CellBase's static budget variance for operating income? 4. Explain why the flexible budget performance report provides more usefu Choose from any list or enter any number in the input fields and then click Check Answer information to CellBase's managers than the simple static budget variance. What insights can CellBase's managers draw from this perfonmance report? Clear Check