Packaging Solutions Corporation manufactures and sells a wide variety of packaging products. Performance reports are prepared monthly for each department. The planning budget and flexible budget for the Production Department are based on the following formulas, where q is the number of labor$-$hours worked in a month:

Cost Formulas

Direct labor $$15\mathrm{.}80$q

Indirect labor $$8,200+$ $$1\mathrm{.}60$q

Utilities $$6,400+$ $$0\mathrm{.}80$q

Supplies $$1,100+$ $$0\mathrm{.}40$q

Equipment depreciation $$23,000+$ $$3\mathrm{.}70$q

Factory rent $$8,400$

Property taxes $$2,100$

Factory administration $$11,700+$ $$1\mathrm{.}90$q

The Production Department planned to work $8,000$ labor$-$hours in March; however, it actually worked $8,400$ labor$-$hours during the month. Its actual costs incurred in March are listed below:

Actual Cost Incurred in March

Direct labor $ $134,730$

Indirect labor $ $19,860$

Utilities $ $14,570$

Supplies $ $4,980$

Equipment depreciation $ $54,080$

Factory rent $ $8,700$

Property taxes $ $2,100$

Factory administration $ $26,470$

Required:

$1.$ Prepare the Production Department$$s planning budget for the month.

$2.$ Prepare the Production Department$$s flexible budget for the month.

$3.$ Prepare the Production Department$$s flexible budget performance report for March, including both the spending and activity variances.