I have posted this twice, still hoping for some assistance. I do not have a static budget but I have the flexible budget. please help me solve this.

The CEO is convinced of the Director of Sales ability to achieve a profit of $40,000 a month and reports those costs on the company's stanic budget. However, actual sales for the first month were 12.900 units The actual revenues and expenses for the month were VARIABLE COSTS (per unit) Sales 5237,457 Direct Materials: Direct Labor: Indirect Materials: Indirect Labor: Utilities for Factory: Supplies for Factory Variable Administrative Salaries Variable Sales Commissions: $15,200 558,050 $1,305 $2,200 $8.900 $1.925 $9,702 $14.750 FIXED COSTS (per month) Factory Supervisor salaries: Factory Depreciation: Property Taxes (Factory: Insurance (Factory Maintenance Factory Fixed Sales Salaries Depreciation, Sales Equip Advertising $43.000 $15,500 $4.500 $3,500 51.860 $10.000 $12,250 $5,720 Regrement 4 (40 points 1. Prepare a report showing the revenue and spending and activity variances for each cost, including total and net income amounts. Remember you will need to prepare flexible budget for the actual level of activity in order to complete this report 2. Based on your report, answer the following .. Look at the Revenue Variance in conjunction with the Selling Expense variances. What is a possible explanation for these variances? b. Are the Activity Variances mostly favorable or unfavorable? Is this a good thing? What do activity variances tell us about the company's performance? . What do you notice about the FOXED activity variances? Why is this the case? 4. What do the Direct and Indirect Materials spending variances indicate about the company's use of materials? e. What do the Direct and Indirect labor spending variances indicate about the company's laborers? 1. Overall, how well did the company perform in the first month with regard to sales of the Whack-O? FLEXIBLE BUDGET 9.200 11.700 13.200 $170,200 78,200 $216,450 99,450 $244.200 112,200 Number of units Revenue Total variable costs Total fixed costs Total costs Net income 92.000 92.000 92.000 170,200 191,450 204,200 0 25,000 40.000 The CEO is convinced of the Director of Sales ability to achieve a profit of $40,000 a month and reports those costs on the company's stanic budget. However, actual sales for the first month were 12.900 units The actual revenues and expenses for the month were VARIABLE COSTS (per unit) Sales 5237,457 Direct Materials: Direct Labor: Indirect Materials: Indirect Labor: Utilities for Factory: Supplies for Factory Variable Administrative Salaries Variable Sales Commissions: $15,200 558,050 $1,305 $2,200 $8.900 $1.925 $9,702 $14.750 FIXED COSTS (per month) Factory Supervisor salaries: Factory Depreciation: Property Taxes (Factory: Insurance (Factory Maintenance Factory Fixed Sales Salaries Depreciation, Sales Equip Advertising $43.000 $15,500 $4.500 $3,500 51.860 $10.000 $12,250 $5,720 Regrement 4 (40 points 1. Prepare a report showing the revenue and spending and activity variances for each cost, including total and net income amounts. Remember you will need to prepare flexible budget for the actual level of activity in order to complete this report 2. Based on your report, answer the following .. Look at the Revenue Variance in conjunction with the Selling Expense variances. What is a possible explanation for these variances? b. Are the Activity Variances mostly favorable or unfavorable? Is this a good thing? What do activity variances tell us about the company's performance? . What do you notice about the FOXED activity variances? Why is this the case? 4. What do the Direct and Indirect Materials spending variances indicate about the company's use of materials? e. What do the Direct and Indirect labor spending variances indicate about the company's laborers? 1. Overall, how well did the company perform in the first month with regard to sales of the Whack-O? FLEXIBLE BUDGET 9.200 11.700 13.200 $170,200 78,200 $216,450 99,450 $244.200 112,200 Number of units Revenue Total variable costs Total fixed costs Total costs Net income 92.000 92.000 92.000 170,200 191,450 204,200 0 25,000 40.000