Please help!

John Richardson is the manufacturing production supervisor for Munoz Tool Works, a company that manufactures hand tools for mechanics. Trying to explain why he did not get the year-end bonus that he had expected, he told his wife, "This is the dumbest place I've ever worked. Last year the company set up this budget assuming it would sell 252,000 units. Well, it sold only 242,000. The company lost money and gave me a bonus for not using as much materials and labor as was called for in the budget. This year, the company has the same 252,000 units goal and it sells 262,000. The company's making all kinds of money. You'd think I'd get this big fat bonus. Instead, management tells me I used more materials and labor than was budgeted. They said the company would have made a lot more money if I'd stayed within my budget. I guess I gotta wait for another bad year before I get a bonus. Like I said, this is the dumbest place I've ever worked." Munoz's master budget and the actual results for the most recent year of operating activity follow. Master Actual Budget Results Variances F or U Number of units 252 , 000 262, 000 10, 000 Sales revenue $ 3, 780, 000 $ 4, 034, 800 $ 254, 800 Variable manufacturing costs Materials (604, 800) (626, 800) 22, 000 Labor (315, 000) (323 , 500) 8 , 500 Overhead (340, 200) (357, 400) 17, 200 Variable selling, general and administrative costs (478, 800) (504, 800) 26, 000 Contribution margin 2, 041, 200 2, 222, 300 181, 100 Fixed costs Manufacturing overhead (1, 285, 200) (1, 283, 200) 2, 000 Selling, general and administrative costs (473, 760) (464, 460) 9 , 300 Net income $ 282 , 240 $ 474 , 640 $ 192 , 400 Required c. Prepare a flexible budget and recompute the budget variances. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).) Flexible Budget Actual Results Variances Number of Units 262,000 None Sales revenue $ 4,034,800 F Variable manufacturing costs