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 Actual Budget 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 6 Administrative salaries 3,700 3,500 200 F Equipment depreciation 1,200 1,200 0 None Rent 5,000 5,000 0 None .9 Total expense 26,700 29,480 2,780 U Net operating income $9,300 $10,080 $780 F 21 Food costs, party supplies, and party worker wages are variable costs. 22 Administrative salaries, equipment depreciation, and rent are fixed costs.24 Required: 25 Prepare a new report for June using the flexible budget approach. 26 27 Enter all variances as positive amounts. Leave no cells blank. 28 (Use cells B10 to E20 from the given information to complete this question.) 29 30 Perfect Parties 31 Birthday Party Division Flexible Budget Performance Report 32 For the Month Ended June 30 Planning Activity Flexible Revenue and Spending Actual 33 Budget Variances Budget Variances Results 34 Number of parties 35 Revenues 36 Expenses: + 37 Food costs 38 Party supplies 39 Party worker wages 40 Administrative salaries 41 Equipment depreciation 42 Rent 43 Total expense 44 Net operating income