Exercise 21-5 (Algo) Preparing flexible budget performance report LO P1 Nina Company prepared the following fixed budget for July using 7,740 units for budgeted sales. Actual sales were 7,440 units and actual costs are shown below. Fixed Budget Variable Amount per Total Fixed Unit Cost $ 100 Fixed Budget (7,740 units $ 774,000 Actual Results (7,440 units) $ 760,640 For Month Ended July 31 Sales Variable costs Direct materials Direct labor Indirect materials Sales commissions Total variable costs Contribution margin Fixed costs Depreciation-Machinery Supervisor salary Insurance Depreciation office equipment Administrative salaries Total fixed costs ***P14 270,900 116,100 30,960 85,140 503,100 $ 270,900 275,440 113,200 29,160 80,920 498,720 $ 261,920 $ 70,480 41,820 10,360 7,640 33,900 $ 164,200 70,480 41,820 10,360 7,640 33,900 164,200 $ 106,700 70,480 43,040 10,360 7,640 30,760 162,280 Income $ 99,640 Prepare a flexible budget performance report for July at activity level of 7,440 units. Show variances between budgeted and actual amounts. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) NINA COMPANY Flexible Budget Performance Report Flexible Actual Budget Results (7,440 units) (7,440 units) For Month Ended July 31 Variances Favorable/Unfavorable 0 0 Sales Variable costs Direct materials Direct labor Indirect materials Sales commissions Total Variable Costs Contribution margin Fixed costs DepreciationMachinery Supervisory salary Insurance DepreciationOffice equipment Administrative salaries Total Fixed Costs Income 0 0