• Conducting a budgeting analysis for a department, the following data is provided:

  Category	Budgeted Amount ($)	Actual Amount ($)
  Personnel	50,000	55,000
  Supplies	10,000	8,000
  Utilities	5,000	6,000
  Maintenance	7,000	7,500

  Your requirements are as follows:

  • Calculate the variance for each budget category.
  • Analyze the variances into favorable and unfavorable components.
  • Present the analysis in a budget variance report.
  • Provide a paragraph discussing potential reasons for budget variances.
  • Discuss the implications of budget variances on future planning.
  • Include a bullet list of recommendations for improving budget accuracy.