Frank Weston, supervisor of the Freemont Corporations Machining Department, was upset after being reprimanded for his departments poor performance over the prior month. The departments cost control report is given below:

Freemont CorporationMachining Department
Cost Control Report
For the Month Ended June 30
	Actual Results	Planning Budget	Variances
Machine-hours	42,000	40,000
Direct labor wages	$ 92,200	$ 89,200	$ 3,000	U
Supplies	29,300	26,400	2,900	U
Maintenance	25,600	23,300	2,300	U
Utilities	23,300	21,900	1,400	U
Supervision	57,000	57,000	0
Depreciation	99,000	99,000	0
Total	$ 326,400	$ 316,800	$ 9,600	U

I just cant understand all of these unfavorable variances, Weston complained to the supervisor of another department. When the boss called me in, I thought he was going to give me a pat on the back because I know my department worked more efficiently last month than ever before. Instead, he tore me apart. I thought for a minute it might be over the supplies that were stolen out of our warehouse last month. But they only amounted to a couple of hundred dollars, and just look at this report. Everything is unfavorable.

Direct labor wages and supplies are variable costs; supervision and depreciation are fixed costs; and maintenance and utilities are mixed costs. The fixed component of the budgeted maintenance cost is $18,500; the fixed component of the budgeted utilities cost is $14,400.

Required:

2. Complete the performance report that will help Mr. Westons superiors assess how well costs were controlled in the machining department.

Note: Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.

Freemont CorporationMachining Department Flexible Budget Performance Report For the Month Ended June 30 Actual Results Revenue and Spending Variances Flexible Budget Planning Budget Machine-hours 42,000 40,000 Direct labor wages $92,200 $89,200 Supplies 29,300 26,400 Maintenance 25,600 23,300 Utilities 23,300 21,900 Supervision 57,000 57,000 Depreciation 99,000 99,000 Total $326,400 $0 $316,800