Exercise 16-28 (Algo) Profit Variance Analysis (LO 16-4) The master budget at Cherrylawn Corporation at the beginning of the year was based on sales of 277,500 units with revenues of $3,330,000 Total variable costs were budgeted at $1,942,500 and fixed costs at $960,000. During the period, actual production and actual sales were 255,500 units. The actual revenues were $3,445,000. Actual variable costs were $6.25 per unit. Actual fixed costs were $990,000. Required: Prepare a profit variance analysis. Note: Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. Cherrylawn Corporation Profit Variance Analysis Actual Manufacturing Variances Sales Price Variance Flexible Budget Sales Activity Variance Master Budget Sales revenue Less Variable costs Contribution margin $ 0 Less Foxed costs Operating profits $