Lewis Company reports the following fixed budget and actual results for May. Prepare a flexible budget performance report showing variances between budgeted and actual results.

Note: Indicate the effect of the variance by selecting favorable, unfavorable, or no variance.

	Fixed Budgeted	Actual Results
Sales (units produced and sold)	1,200		1,400
Sales (in dollars)	$ 300	per unit	$ 435,000
Variable costs	$ 120	per unit	$ 172,000
Fixed costs	$ 125,000		$ 122,000

\begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ LEWIS COMPANY } \\ \hline \multicolumn{5}{|c|}{ Flexible Budget Performance Report } \\ \hline For Month Ended May 31 & \begin{tabular}{c} Flexible Budget \\ (1,400 units ) \end{tabular} & \begin{tabular}{c} Actual Results \\ (1,400 units) \end{tabular} & Variances & Favorable or Unfavorable \\ \hline 7 & & & & \\ \hline 7 & 7 & & & 7 \\ \hline & & & & \\ \hline & 7 & & & 7 \\ \hline & & & & 7 \\ \hline \end{tabular}