FLEXIBLE BUDGET AND STATIC BUDGET - ILLUSTRATION Brabham Enterprise manufactures tires for the Formula 1 motor racing circuit. For August 2012, it budgeted to manufacture and sale 3000 tires at a variable costs of \$74 per tire and total fixed costs of $54000. The budgeted selling price was \$110 per tire. Actual results in August 2012, were 2800 tires manufactured and sold at a selling price of $112 per tire. The actual total variable costs were $229,600 and the actual total fixed costs were $50,000. Required: - Prepare a performance report that uses a flexible budget and a static budget - Comment on the results in (a)