I just need assistance with the last page and a half.

WISLULUUNS (a) State the total monthly budgeted cost formula. (b) Prepare a budget report for August using flexible budget data. Why does this report provide a better basis for evaluating performance than the report based on static budget data? (c) In September, 64,000 units were produced. Prepare the budget report using flexible budget data, assuming (1) each variable cost was 10% higher than its actual cost in August, and (2) fixed costs were the same in September as in August. (a) State the total monthly budgeted cost formula. nooo + 60,000 = 2.85 2.85 per unit Fixed cost 35,000 + variable cost of (b) Prepare a budget report for August using flexible budget data. Why does this report provide a better basis for evaluating performance than the report based on static budget data? RATCHET COMPANY Assembling department Flexible budget Report For the Month Ended August 31, 2017 Budget at 58,000 units Actual Costs 58,000 units Difference Favorable F Unfavorable U Units houb Variable costs Direct materials Direct labor Indirect materials Indirect labor Utilities Maintenance 46. 12.102 05.000 17.40 51200 H. 20 14900 100 40 800 1,00 12,400 Total variable 765,300 167,200 1192O Fixed costs Rent Supervision Depreciation Total fixed 12,000 17.02 2,000 17 doo 35.000 STOO Total costs 12002 ZZ200 100D Response: (c) in September, 64,000 units were produced. Prepare the budget report using flexible budget data, assuming (1) each variable cost was 10% higher than its actual cost in August, and (2) fixed costs were the same in September as in August. RATCHET COMPANY Assembling department Flexible budget Report For the Month Ended September 30, 2017 Budget at 64,000 units Actual Costs 64,000 units Difference Favorable F Unfavorable U Units 57,790 Variable costs Direct materials Direct labor Indirect materials Indirect labor 5760 12.00 1020 19.20 Goob Utilities Maintenance Total variable 76 390 113610 783.920 390 840 1520 182 700 Fixed costs Rent Supervision Depreciation Total fixed /2.40 77.000 72,000 17,000 L Total costs 2/7, Hot 218.920 1922 Response: After you have completed P22-3A consider the following additional question. 1. Assume that the number of units produced in September changed to 68,000. Revise the flexible budget report for September assuming (1) each variable cost was 12% higher than its actual cost in August and (s) fixed costs remain the same in September as in August RATCHET COMPANY Assembling department Flexible budget Report For the Month Ended September 30, 2017 Difference Budget at Actual Costs Unfavorable U Units Variable costs Direct materials Direct labor Indirect materials Indirect labor Utilities Maintenance Total variable Fixed costs Rent Supervision Depreciation Total fixed Total costs Note that actual variable costs in September were 12% higher than the actual variable costs in August Therefore, to find the actual variable costs in September, the actual variable costs in August must be increased 12% as follows: (use the template below to calculate) August September (actual) (actual) Direct materials x 112% Direct labor x 112% Indirect materials x 112% Indirect labor x 112% Utilities x 112%