Nina Company prepared the following fixed budget for July using 7,500 units for budgeted sales. Actual sales were 7,200 units and actual costs are shown below. Total Fixed Cost Fixed Budget (7,500 units) $ 750,000 262,500 112,500 30,000 82,500 487,500 $ 262,500 68,200 Actual Results (7,200 units) $ 737,000 266,800 109,600 28,200 78,400 483,000 $ 254,000 For Month Ended July 31 Sales Variable costs Direct materials Direct labor Indirect materials Sales commissions Fixed Budget Variable Amount per Unit $ 100 35 15 4 11 Total variable costs 65 $ 35 $ 68,200 Contribution margin Fixed costs Depreciation-Machinery Supervisor salary Insurance Depreciation-Office equipment Administrative salaries Total fixed costs 68,200 40,500 40,500 41,600 10,000 10,000 10,000 7,400 7,400 7,400 33,900 33,900 29,800 $ 160,000 160,000 157,000 $ 102,500 Income $ 97,000 Prepare a flexible budget performance report for July at activity level of 7,200 units. Show variances between budgeted and actual amounts. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) NINA COMPANY 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 Supervisory salary Insurance Depreciation Office equipment Administrative salaries Total Fixed Costs NINA COMPANY Flexible Budget Performance Report Flexible Actual Budget Results Variances Favorable/Unfavorable (7,200 units) (7,200 units) 0 0 0 0 Income