Nina Company prepared the following fixed budget for July using 7,520 units for budgeted sales. Actual sales were 7,220 units and actual costs are shown below. Fixed Budget Variable Amount per Total Fixed Unit Cost $ 100 Fixed Budget (7,520 units) $ 752,000 Actual Results (7,220 units) $ 738,970 35 15 4 11 65 $ 35 For Month Ended July 31 Sales Variable costs Direct materials Direct labor Indirect materials Sales commissions Total variable costs Contribution margin Fixed costs Depreciation-Machinery Supervisor salary Insurance Depreciation office equipment Administrative salaries Total fixed costs Income 263,200 112,800 30,080 82,720 488,800 $ 263,200 267,520 109,900 28,280 78,610 484,310 $ 254,660 $ 68,390 40,610 10,030 7,420 33,900 $ 160, 350 68,390 40,610 10,030 7,420 33,900 160, 350 $ 102,850 68,390 41,720 10,030 7,420 29,880 157,440 $ 97,220 Prepare a flexible budget performance report for July at activity level of 7,220 units. Show variances between budgeted and actual amounts. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) Prepare a flexible budget performance report for July at activity level of 7,220 units. Show variances between budgeted and actual amounts. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) NINA COMPANY Flexible Budget Performance Report Flexible Actual Budget Results (7,220 units) (7,220 units) $ 738,970 For Month Ended July 31 Variances Favorable/Unfavorable Favorable 267,520 109,900 28,280 78,610 484,310 254,660 Unfavorable Unfavorable Favorable Favorable Unfavorable Favorable 0 Sales Variable costs Direct materials Direct labor Indirect materials Sales commissions Total Variable Costs Contribution margin Fixed costs Depreciation Machinery Supervisory salary Insurance DepreciationOffice equipment Administrative salaries Total Fixed Costs Income 68,390 40,610 10,030 7,420 33,900 160,350 68,390 41,720 10,030 7,420 29,880 157,440 97,220 0 No variance 1,110 Unfavorable 0 No variance 0 No variance 4,020 Favorable 2,910 Favorable Favorable $