In September, 68,000 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. (List variable costs before fixed costs.) RATCHET COMPANY Assembling Department Flexible Budget Report For the Month Ended September 30, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Bu Actual Costs 68000 6300 Units Variable Costs 56518 Direct Materials 55760 | Favorable Direct Labor 61446 1114 Indirect Materials Unfavorable 31960 Indirect Labor 269 548 Unfavorable 9361 8B40 Total Variable Costs 201280 2275 Fixed Costs Nelther Favorable nor Unfavorable Rent 12190 12150 Neither Favorable nor Unfavorable Supervision Neither Favorable nor Unfavorable Depreciation 6050 Total Fixed Costs Nelther Favorable nor Unfavorable 236580 S 238855 $ 2275 Unfavorable Total Costs RATCHET COMPANY Assembling Department Flexible Budget Report For the Month Ended August 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs Units 62000 62000 Variable Costs Direct Materials$ 52080 52760 Unfavorable Favorable Unfavorable Direct Labor 58240 1280 59520 Indirect Materials 1120 28520 29640 Indirect Labor 21310 Unfavorable 21080 21700 Unfavorable Utilities 22200 500 Unfavorable Maintenance 11160 11780 620 Total Variable Costs 194060 195930 1870 Unfavorable Fixed Costs 10800 10800 Neither Favorable nor Unfavorable 0 Neither Favorable nor Unfavorable 18600 18600 0 Neither Favorable nor Unfavorable Depreciation 5500 0 Total Fixed Costs Neither Favorable nor Unfavorable 34900 34900 0 Total Costs 228960 230830 1870 Unfavorable