Ivanhoe Company uses budgets in controlling costs. The August 2022 budget report for the company's Assembling Department is as follows. Ivanhoe Company Budget Report Assembling Department For the Month Ended August 31, 2022 Difference Manufacturing Costs Budget Actual Favorable Unfavorable Neither Favorable nor Unfavorable Variable costs Direct materials $53,760 $52,760 $1,000 Favorable Direct labor 61.440 58,240 3,200 Favorable Indirect materials 29,440 29.640 200 Unfavorable Indirect labor 21,760 21,310 450 Favorable: Utilities 22,400 22,200 200 Favorable Maintenance 11,520 11,780) 260 Unfavorable Direct labor 61,440 58,240 3,200 Favorable: Indirect materials 29.440 29,640 200 Unfavorable Indirect labor 21,760 21,310 450 Favorable Utilities 22.400 22,200 200 Favorable Maintenance 11,520 11,780 260 Unfavorable Total variable 200,320 195,930 4,390 Favorable Fixed costs Rent 10,800 10,800 Supervision 18,600 18,600 -0- Neither Favorable nor Unfavorable -0- Neither Favorable nor Unfavorable Depreciation 5,500 5,500 -0- Neither Favorable nor Unfavorable Total fixed 34,900 34,900 Total costs -0- Neither Favorable nor Unfavorable $235,220 $230,830 $4,390 Favorable The monthly budget amounts in the report were based on an expected production of 64,000 units per month or 768,000 units per year. The Assembling Department manager is pleased with the report and expects a raise, or at least praise for a job well done. The company president, however, is unhappy with the results for August because only 62.000 units were produced. 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.) Variable Costs Variable Costs Direct Labor Direct Materials IVANHOE COMPANY Assembling Department Flexible Budget Report For the Month Ended September 30, 2022 Budget Actual Costs Diff Fav Unfa Neither nor Un Indirect Labor Indirect Materials Utilities Maintenance Total Variable Costs Fixed Costs Rent Supervision Depreciation: Total Fixed Costs Total Costs O