Perfect Parties, Inc. has several divisions. One division provides birthday parties at their facility.
Each party sold provides entertainment, decorations, food, and party favors for 10 children.
The bookkeeper has prepared a report comparing actual results for the month of June to budgeted results.
Perfect Parties
Birthday Party Division Analysis of Revenues and Costs
For the Month Ended June 30
	Planning Budget	Actual Results	Variances
Number of parties	80	92
Revenue	$36,000	$39,560	$3,560	F
Expenses:
Food costs	7,200	8,648	1,448	U
Party supplies	3,200	3,404	204	U
Party worker wages	6,400	7,728	1,328	U
Administrative salaries	3,700	3,500	200	F
Equipment depreciation	1,200	1,200	0	None
Rent	5,000	5,000	0	None
Total expense	26,700	29,480	2,780	U
Net operating income	$9,300	$10,080	$780	F
Food costs, party supplies, and party worker wages are variable costs.
Administrative salaries, equipment depreciation, and rent are fixed costs.
Required:
Prepare a new report for June using the flexible budget approach.
Enter all variances as positive amounts. Leave no cells blank.
(Use cells B10 to E20 from the given information to complete this question.)
Perfect Parties
Birthday Party Division Flexible Budget Performance Report
For the Month Ended June 30
	Planning Budget	Activity Variances		Flexible Budget	Revenue and Spending Variances		Actual Results
Number of parties
Revenues
Expenses:
Food costs
Party supplies
Party worker wages
Administrative salaries
Equipment depreciation
Rent
Total expense
Net operating income
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