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 $$16\mathrm{.}40$q

Indirect labor $$4,800+$ $$1\mathrm{.}70$q

Utilities $$5,200+$ $$0\mathrm{.}70$q

Supplies $$1,500+$ $$0\mathrm{.}10$q

Equipment depreciation $$18,400+$ $$2\mathrm{.}90$q

Factory rent $$8,000$

Property taxes $$3,000$

Factory administration $$13,500+$ $$0\mathrm{.}60$q

The Production Department planned to work $4,500$ labor$-$hours in March; however, it actually worked $4,300$ labor$-$hours during the month. Its actual costs incurred in March are listed below:

Actual Cost Incurred in March

Direct labor $ $72,120$

Indirect labor $ $11,630$

Utilities $ $8,740$

Supplies $ $2,160$

Equipment depreciation $ $30,870$

Factory rent $ $8,400$

Property taxes $ $3,000$

Factory administration $ $15,430$

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.