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Problem 6-27 (Part Level Submission) Barnes Entertainment Corporation prepared a master budget for the month of November that was based on sales of 156,900 board games. The budgeted income statement for the period is as follows.

Sales Revenue	$2,353,500
Variable expenses
Direct materials	$706,050
Direct labor	313,800
Variable overhead	470,700
Total variable expenses	1,490,550
Contribution margin	862,950
Fixed overhead	258,300
Fixed selling and administrative expenses	508,500
Total fixed expenses	766,800
Operating income	$96,150

During November, Barnes produced and sold 199,200 board games. Actual results for the month are as follows.

Sales Revenue	$2,976,700
Variable expenses
Direct materials	$884,200
Direct labor	412,200
Variable overhead	608,300
Total variable expenses	1,904,700
Contribution margin	1,072,000
Fixed overhead	275,000
Fixed selling and administrative expenses	508,500
Total fixed expenses	783,500
Operating income	$288,500

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(a-b) (a) Prepare a flexible budget for November. (Round unit answers to 2 decimal places, e.g. 5.25 & all other answers to 0 decimal places, e.g. 125.)

Unit	199,200games
Operating incomeTotal fixed expensesSales revenueVariable expensesContribution marginTotal variable expensesDirect materialFixed expensesDirect laborVariable overheadOverheadSelling and administrative	$	$
LessAdd: Total fixed expensesSelling and administrativeTotal variable expensesFixed expensesContribution marginOperating incomeSales revenueVariable expensesDirect materialDirect labor
Total variable expensesSelling and administrativeContribution marginSales revenueVariable expensesFixed expensesDirect materialOverheadTotal fixed expensesVariable overheadDirect laborOperating income
Variable expensesTotal fixed expensesVariable overheadSales revenueContribution marginOperating incomeSelling and administrativeTotal variable expensesFixed expensesOverheadDirect materialDirect labor
Operating incomeOverheadVariable overheadSales revenueTotal fixed expensesContribution marginFixed expensesSelling and administrativeDirect laborTotal variable expensesVariable expensesDirect material
Direct materialOperating incomeOverheadSelling and administrativeSales revenueDirect laborVariable overheadTotal fixed expensesFixed expensesVariable expensesTotal variable expensesContribution margin
Selling and administrativeDirect materialDirect laborTotal fixed expensesOverheadVariable overheadSales revenueOperating incomeVariable expensesFixed expensesTotal variable expensesContribution margin	$
LessAdd: Total variable expensesVariable expensesOperating incomeContribution marginFixed expensesSelling and administrativeSales revenueDirect materialDirect laborTotal fixed expenses
Variable overheadDirect laborContribution marginFixed expensesSales revenueTotal variable expensesOverheadSelling and administrativeVariable expensesDirect materialTotal fixed expensesOperating income
OverheadVariable overheadFixed expensesDirect materialTotal fixed expensesOperating incomeDirect laborSales revenueContribution marginTotal variable expensesVariable expensesSelling and administrative
OverheadSelling and administrativeTotal fixed expensesOperating incomeSales revenueVariable expensesDirect materialDirect laborVariable overheadTotal variable expensesContribution marginFixed expenses
Variable expensesTotal fixed expensesTotal variable expensesOperating incomeDirect laborSales revenueDirect materialOverheadFixed expensesVariable overheadContribution marginSelling and administrative	$

(b) Calculate Barness static budget variance for November. (Round answers to 0 decimal places, e.g. 125. Enter all variance amounts as positive values. If variance is zero, select "Not Applicable" and enter 0 for the amounts.)

Actual Results	Static Budget Variance	Static Budget
Unit Sales			Not ApplicableFavorableUnfavorable
OverheadTotal variable expensesContribution marginVariable expensesTotal fixed expensesOperating incomeSales revenueFixed expensesDirect materialSelling and administrativeDirect labor	$	$	FavorableUnfavorableNot Applicable	$
LessAdd: Operating incomeTotal fixed expensesDirect materialSelling and administrativeContribution marginVariable expensesDirect laborTotal variable expensesFixed expenses
Fixed expensesVariable expensesSelling and administrativeVariable overheadDirect laborTotal fixed expensesOperating incomeTotal variable expensesDirect materialContribution marginSales revenue			FavorableNot ApplicableUnfavorable
Sales revenueOperating incomeVariable expensesDirect laborFixed expensesVariable overheadTotal variable expensesContribution marginDirect materialSelling and administrativeTotal fixed expenses			UnfavorableFavorableNot Applicable
Direct materialOperating incomeSales revenueContribution marginVariable overheadFixed expensesTotal variable expensesSelling and administrativeTotal fixed expensesVariable expensesDirect labor			Not ApplicableFavorableUnfavorable
Direct laborDirect materialSales revenueOperating incomeVariable overheadTotal variable expensesContribution marginVariable expensesFixed expensesSelling and administrativeTotal fixed expenses			Not ApplicableUnfavorableFavorable
Sales revenueDirect laborOverheadTotal variable expensesContribution marginVariable expensesFixed expensesDirect materialSelling and administrativeTotal fixed expensesOperating income			FavorableUnfavorableNot Applicable
LessAdd: Operating incomeTotal fixed expensesDirect laborVariable expensesDirect materialTotal variable expensesContribution marginFixed expensesSelling and administrative
Contribution marginSelling and administrativeTotal fixed expensesOperating incomeDirect laborTotal variable expensesOverheadFixed expensesSales revenueVariable expensesDirect material			UnfavorableNot ApplicableFavorable
Selling and administrativeOperating incomeTotal fixed expensesSales revenueVariable expensesDirect materialDirect laborOverheadTotal variable expensesContribution marginFixed expenses			FavorableUnfavorableNot Applicable
Contribution marginDirect laborFixed expensesSelling and administrativeOverheadTotal variable expensesTotal fixed expensesOperating incomeSales revenueVariable expensesDirect material			UnfavorableFavorableNot Applicable
Direct materialSales revenueDirect laborContribution marginTotal variable expensesVariable expensesOverheadFixed expensesSelling and administrativeOperating incomeTotal fixed expenses	$	$	UnfavorableNot ApplicableFavorable	$