Performance Report Based on Budgeted and Actual Levels of Production Balboa Company budgeted production of 4,500 units with the following amounts: Variable costs of production: Direct materials 3 pounds @ $1.30 per pound Direct labor 0.5 hr. @ $18.00 per hour 0.5 hr. @ $3.40 VOH FOH: Materials handling $6,200 $2,600 Depreciation At the end of the year, Balboa had the following actual costs for production of 4,700 units: Direct materials $18,320 Direct labor 42,400 VOH 7,900 FOH: Materials handling 8,800 Depreciation 4,350 Required: 1. Calculate the budgeted amounts for each cost category listed above for the 4,500 budgeted units. 2. Prepare a performance report using a budget based on expected (budgeted) production of 4,500 units. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number and if there is no entries enter "0" then select for "Not applicable". Balboa Company Performance Report Actual Budgeted 4,500 Variance -200 Units produced 4,700 Favorable Direct materials $ 18,320 $ 17,550 $ 770 2.900 Unfavorable Unfavorable Direct labor 43,400 x 40,500 x 7,900 7,650 250 Unfavorable Variable overhead Fixed overhead: Materials handling 200 8,800 4,350 8,600 x 4,350 x X x Unfavorable Not applicable x Depreciation L Total $ 82,770 X $ 78,650 X $4,120 X Unfavorable 3. Prepare a performance report using a budget based on the actual level of production of 4,700 units. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number and if there is no entries enter "0" or leave it blank then select for "Not applicable". Balboa Company Performance Report Actual Budgeted 4,700 Variance* 0 Units produced 4,700 Not applicable Direct materials $ 18,320 $ 18,330 $ 10 Favorable Direct labor 43,400 42,300 1.100 x Unfavorable Variable overhead 7,900 7,990 -90 favorable Fixed overhead: Materials handling 8,800 8,600 x 200 X Unfavorable Depreciation 4,350 4,350 o x Not applicable x Total $ 82,770 X $ 81,570 x $1,200 X Unfavorable