Katsu, Inc. has a small car division that operates as a profit center. Below is a partially completed responsibility report for the first quarter.

Responsibility Report
	Actual	Flexible Budget	Flexible Budget Variance	U/F	Percentage Variance	U/F
Sales Revenue	$688,200	$703,000
Variable Expenses	309,400	322,000
Contribution Margin	378,800	381,000
Traceable Fixed Expenses	371,000	368,000
Division Margin	$7,800	$13,000

Compute the percentage variance for the flexible budget variance for sales revenue. (Round your answer to two decimal places.)

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Part 1

A.

3.91%

U

B.

2.11%

F

C.

3.91%

F

D.

2.11%

U