Optimus Company manufactures a variety of tools and industrial equipment. The company operates through three divisions. Each division is an investment center. Operating data for the Home Division for the year ended December 31, 2020, and relevant budget data are as follows.

		Actual		Comparison with Budget
Sales		$1,400,000		$100,000	favorable
Variable cost of goods sold		680,000		55,000	unfavorable
Variable selling and administrative expenses		126,000		25,000	unfavorable
Controllable fixed cost of goods sold		170,000		On target
Controllable fixed selling and administrative expenses		80,000		On target

Average operating assets for the year for the Home Division were $2,000,000 which was also the budgeted amount.

(a)

Prepare a responsibility report for the Home Division