Cellular Technologies manufactures capacitors for cellular base stations and other communications applications. The company's July 2018 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 budget.) : (Click the icon to view the income statement.) Read the requirements. Requirement 1. Prepare a flexible budget performance report for July (Enter a "0" for any zero balances. For any $0 variances, leave the Favorable (F)/Unfavorable (U) input blank.) i Data Table Cellular Technologies Flexible Budget Performance Report For the Month Ended July 31, 2018 * 3 - Data Table X 5 (1)-(3) Flexible Budget Variance Budget Amounts Per Unit 4 (3) - (5) Sales Volume Variance Cellular Technologies Flexible Budget For the Month Ended July 31, 2018 Actual Results Flexible Budget Static Budget Budget Amount per Unit EN Cellular Technologies Income Statement For the Month Ended July 31, 2018 Sales Revenue $ 237,000 Variable Expenses 135,200 Contribution Margin 101,800 Fixed Expenses 53,000 $ 48,800 Operating Income Units Sales Revenue Variable Expenses Contribution Margin Fixed Expenses Units Sales Revenue 23 $ 13 SOS 6,500 149,500 $ 84,500 8,000 184,000 $ 104,000 10,000 230,000 130,000 UCUS Variable Expenses Contribution Margin Operating Income Fixed Expenses 65,000 52,000 13,000 $ 80,000 52,000 28,000 $ 100,000 52,000 48,000 $ Print Operating Income Done Print Done 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 $ Choose from any list or enter any number in the input fields and then continue to the next question. Cellular Technologies manufactures capacitors for cellular base stations and other communications applications. The company's July 2018 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: E: (Click the icon to view the flexible budget.) : (Click the icon to view the income statement.) Read the requirements. Data Table UTILS Sales Revenue Variable Expenses Contribution Margin Fixed Expenses OCOCO i Data Table Cellular Technologies Flexible Budget For the Month Ended July 31, 2018 Budget Amount Operating Income per Unit Cellular Technologies Income Statement For the Month Ended July 31, 2018 Sales Revenue $ 237,000 135,200 Variable Expenses Contribution Margin 101,800 Fixed Expenses 53,000 48,800 Operating Income Units Sales Revenue S 23 $ 6,500 149,500 $ 84,500 8,000 184,000 $ 104,000 10,000 230,000 130,000 Variable Expenses Contribution Margin Fixed Expenses Requirement 2. What was the effect on Cellular's operating income of selling 2,000 units more than the static budget level of sales? 65,000 52,000 13,000 $ 80,000 52,000 28,000 $ 100,000 52,000 48,000 $ Operating Income 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? Print Done Print Done L meaning that its operating income is L t han expected Cellular's static budget variance is $ L per the static budget 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 variances suggest that the marketing department did a job. They sold units than expected and sold them at a price than expected. Choose from any list or enter any number in the input fields and then continue to the next