lina Company prepared the following fixed budget for July using 7,780 units for budgeted sales. ctual sales were 7.480 units and actual costs are shown below. \begin{tabular}{|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{ NINA COMPANY } \\ \hline \multicolumn{5}{|c|}{ Flexible Budget Performance Report } \\ \hline For Month Ended July 31 & \begin{tabular}{c} Flexible \\ Budget \\ (7,480 units) \end{tabular} & \begin{tabular}{c} Actual \\ Results \\ (7, 480 units) \end{tabular} & Vatiances & Favorable or Unfavorable \\ \hline Sales: & & & & \\ \hline Variable costs & & + & +1 & \\ \hline Direct materials & & & 4 & \\ \hline Direct labor & & - & & \\ \hline Indirect materials & & & & \\ \hline Sales commissions & & + & & \\ \hline Total Variable Costs & 0 & & & \\ \hline Contribution margin & & & 40 & \\ \hline Fboed costs & 11 & 10 & 28 & \\ \hline Depreciation-Machinery & & & - & \\ \hline Supervisory salary & & +4 & & \\ \hline Insurance & 84 & & & \\ \hline Depreciation-Otice equipment & 48 & & & \\ \hline Administrative salaries & & & - & \\ \hline Total Fixed Costs & 0 & 0 & & +2 \\ \hline Income & & 40 & & \\ \hline \end{tabular}