Please answer the last question with the process

Exercise 6.13 Flexible budget variances Here are data for the Stove Division of Appliances Now, which produces and sells a complete line of kitchen Stoves. (In thousands) Revenue Variable production costs Fixed manufacturing costs Variable selling expenses Fixed selling expenses Administrative expenses Budget $16,491 5,892 1,977 456 1,275 4,773 Actual $17,480 6,451 2,032 550 1,268 5,550 $2,118 Operating income $1,629 The budget, set at the beginning of the year, was based upon estimates of sales and costs. Administrative expenses include charges by corporate headquarters for providing strategic guidance. These fixed costs are allocated to divisions using revenues as the allocation base. Required Assume that a different volume of stoves was sold than was budgeted and prepare a flexible budget using the change in revenue to adjust the variable costs. Calculate budget variances. (Round answers to o decimal places.) Static Budget Flexible Budget Actual Flexible Budget Variance Revenues 16491 $ 17480 $ 17480 $ Cost of sales 5892 6245 Fixed overhead 1977 1977 6451 2032 550 Variable selling 456 483 Fixed selling 1275 1275 1268 Administration 4773 4773 5550 Total costs 14373 14753 15851 1098) Income - 2118$ 1629 21105 2727 2215 Due to a booming economy, the division's unit sales were higher than anticipated, even though the division's share of the home refrigerator market fell from 22% to 20% during the year. Using information from the flexible budget, estimate the impact on profits of the decline in market share. (Hint: First estimate what the total sales should have been.) (Round calculation for contribution margin ratio to 2 decimal places and all other answers to zero decimal places.) Impact on profit Decline