Finch Company has provided the following for the year. Budget Sales $ 508,000 Variable product costs 203,000 Variable selling expense 43,000 Other variable expenses 3,400 Fixed product costs 16,100 Fixed selling expense 23,500 Other fixed expenses 1,900 Interest expense 690 Variances Sales 8,300 U Variable product costs 4,300 F Variable selling expense 2,200 U Other variable expenses 1,600 U Fixed product costs 270 F Fixed selling expense 480 F Other fixed expenses 110 U Interest expense 170 F Required a. Prepare in good form a budgeted and actual income statement for internal use. Separate operating income from net income in the statements and indicate whether each variance is favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).)

Finch Company has provided the following for the year. $508,000 203,000 43,000 3,400 16,100 23,500 1,900 690 Budget Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense Variances Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense 8,300 U 4,300 F 2,200 U 1,600 U 270 F 480 F 110 U 170 F Required a. Prepare in good form a budgeted and actual income statement for internal use. Separate operating income from net income in the statements and indicate whether each variance is favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).) FINCH COMPANY Internal Income Statement Budget Actual Variance Effect Sales Variable expenses: Fixed expenses