ILLUSTRATION 39 The CEO of your company has been given the following statement showing the results for a recent month: Particulars Units Produced & Sold Sales Direct Material Direct Wages Variable Overheads Fixed Overheads Total Cost Net Surplus Master Budget 10,000 $ 8,00,000 2,00,000 3,00,000 1,00,000 1,00,000 7,00,000 1,00,000 Actual 9,000 $ 7,00,000 1,84,000 2,62,000 94,000 98,000 6,38,000 62,000 The standard cost of the product is as follows: Direct Material (1 kg. @ $20/kg) $20 per unit Direct Wages (1 hour @ $30/hour) $30 per unit Variable Overheads (1hour @ $10/hour) $10 per unit Actual results for the month revealed that 9,800 kgs. of material was used and 8,800 labour hours were recorded Prepare flexible budget for the month and compare with the actual results