Phoenix Company's 2019 master budget Included the following fixed budget report. It is based on an expected production and sales volume of 17,000 units $3,400,000 PHOENIX COMPANY Fixed Budget Report Tor Year Ended December 31, 2019 Sales Cont of goods sold Direct materials 31,020,000 Direct labor 170,000 Machinery repairs variable coat) $5,000 Depreciation-Plant equipment (straight-line) 300,000 Utilities ($60,000 in variable) 228,000 Plant management salaries 215,000 Gronn profit Selling expensen Tackaging 102,000 Shipping 136.000 Sales salary (fixed annual amount) 260,000 General and administrative expenses Advertising expense 126,000 salaries 241,000 Entertainment expense 100,000 Income from operations 2,010,000 1,302,000 498,000 467,000 $ 417,000 Phoenix Company's actual income statement for 2019 follows. PHOENIX COMPANY Statement of Incone tron Operations Tor Year Inded Decenber 31, 2019 sales (20,000 unita) 54,040,000 Cont of goods sold Direct materiale $1,215,000 Direct labor 200,000 Machinery repairs (variable cost) 92,000 Depreciation-plant equipment (traight-line) 300,000 Utilities (fixed cost is $150,000) 237,250 Plant management salarios 226,000 2,270,250 Grous profit 1,769,750 Selling expenses Packaging 117.250 Shipping 152,500 Sales salary (annual) 279.000 540,750 General and administrative expenses Advertising expense 134.000 Salaries 241,000 Entertainment expense 103,500 470,500 Income from operatione $ 742,500 Required: 1. Prepare a flexible budget performance report for 2019. (Indicate the effect of each variance by selecting for favorable, unfavorable, and No variance.) PHOENIX COMPANY Flexible Budget Performance Report For Year Ended December 31, 2015 Flexible Budget Actual Results Variances Fav. / Unfov. Variable costs Fixed costs