Cellular Technologies manufactures capacitors for cellular base stations and other communications applications. The company's July 2024 flexible budget shows output levels of 6,500, 8,000, and 10,000 units. The static budget was based on expected sales of 8,000 units. The company sold 10,000 units during July. Its flexible budget and actual operating income was as follows: Click the icon to view the flexible budost Click the icon to view the income statement) Data table Cellular Technologies Income Statement For the Month Ended July 31, 2024 - X Data table Cellular Technologies Flexible Budget For the Month Ended July 31, 2024 Budget input blank Sales Revenue $ 257,000 Amount Variable Expenses 115,100 per Unit Contribution Margin 141.900 55.500 Units 6,500 8,000 10,000 Sales Revenue $ Fixed Expenses $ 86,400 Variable Expenses 11 25 $ 162,500 $ 200,000 $ 250,000 71,500 88,000 110,000 Operating Income Contribution Margin 91,000 112,000 140,000 Fixed Expenses 54,000 $ 37,000 $ 54,000 58,000 $ 54,000 86,000 Operating Income Print Done Next Requirement 1. Prepare a flexible budget performance report for July. (Enter a "O" for any zero balances. For any $0 variances, le Cellular Technologies Flexible Budget Performance Report For the Month Ended July 31, 2024 Units Sales Revenue Variable Expenses Contribution Margin 1 2 3 4 (1)-(3) (3)-(5) Budget Flexible Sales Amounts Actual Budget Flexible Volume Static Per Unit Results Variance Budget Variance Budget Units Sales Revenue Variable Expenses Contribution Margin Fixed Expenses Operating Income Amounts Actual Budget Flexible Volume Static Per Unit Results Variance Budget Variance Budget Requirement 2. What was the effect on Cellular's operating income of selling 2,000 units more than the static budget level of sales? Selling 2,000 units more than the static budget level of sales Cellular's operating income by Requirement 3. What is Cellular's static budget variance for operating income? Cellular's static budget variance is per the static budget meaning that its operating income is than expected Requirement 4. Explain why the flexible budget performance report provides more useful information to Cellular's managers than the simple static budget variance. What insights can Cellular's managers draw from this performance report? Choose two reasons why the flexible budget performance report provides Cellular's managers with more information than the simple static budget variance These vanances suggest that the marketing department did a job. They sold units than expected and sold them at a price than expected