D H Actual 200 $2,242,200 Budget 180 $2,052,000 Variances 20 F $190,200 F Number of resales Total selling fees 10 Variable costs: 11 Sales commissions Automobile 13 Advertising 4 Home repairs 5 General overhead Total variable costs Contribution margin Fixed general overhead Operating income (loss) 1,205,184 39,560 103,450 89,240 716,970 2,154,404 87,796 62,300 $25,496 1,102,950 36,000 93,600 77,400 656,100 1,966,050 85,950 60,000 $25,950 102,234 U 3,560 U 9,850 U 11,840 60,870 U 188,354 U 1,846 F 2,300 U $454U Required: 1 Is the original performance report useful? Why or why not? (2 marks) Useful Reason Prepare a performance report using the flexible budget approach. (11 marks) Note: You may not need to use all the blue and green highlighted cells. 1 PF-1 New D H Actual 200 $2,242,200 Budget 180 $2,052,000 Variances 20 F $190,200 F Number of resales Total selling fees 10 Variable costs: 11 Sales commissions Automobile 13 Advertising 4 Home repairs 5 General overhead Total variable costs Contribution margin Fixed general overhead Operating income (loss) 1,205,184 39,560 103,450 89,240 716,970 2,154,404 87,796 62,300 $25,496 1,102,950 36,000 93,600 77,400 656,100 1,966,050 85,950 60,000 $25,950 102,234 U 3,560 U 9,850 U 11,840 60,870 U 188,354 U 1,846 F 2,300 U $454U Required: 1 Is the original performance report useful? Why or why not? (2 marks) Useful Reason Prepare a performance report using the flexible budget approach. (11 marks) Note: You may not need to use all the blue and green highlighted cells. 1 PF-1 New