Problem 25-03A a, b1, c (Video) Vaughn Company uses budgets in controlling costs. The August 2020 budget report for the company's Assembling Department is as follows. VAUGHN COMPANY Budget Report Assembling Department For the Month Ended August 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Manufacturing Costs Budget Actual Variable costs Direct materials Direct labor Indirect materials Indirect labor Utilities Maintenance $54,180 $53,080 $1,100 Favorable 60,480 57,080 3,400 Favorable 30,240 30,440 200 Unfavorable 21,420 21,020400 Favorable 18,90018,800 100 Favorable 10,080 10,440 360 Unfavorable 195,300 190,860 4,440 Favorable Total variable Fixed costs Rent Supervision Depreciation 11,10011,100 16,000 16,000 6,8006,800 33,900 33,900 -0- Neither Favorable nor Unfavorable -0 Neither Favorable nor Unfavorable -0- Neither Favorable nor Unfavorable -0- Neither Favorable nor Unfavorable Total fixed $229,200 $224,760 $4,440 Favorable Total costs The monthly budget amounts in the report were based on an expected production of 63,000 units per month or 756,000 units per year. The Assembling Department manager is pleased with the report and expects a raise, or at least praise for a job well done. The company president, however, is unhappy with the results for August because only 61,000 units were produced (a) State the total monthly budgeted cost formula. (Round cost per unit to 2 decimal places, e.g. 1.25.) The formula is (b) Prepare a budget report for August using flexible budget data. (List variable costs before fixed costs.) + variable costs of $ per unit. VAUGHN COMPANY Assembling Department Flexible Budget Report For the Month Ended August 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs In September, 67,000 units were produced. Prepare the budget report using flexible budget data, assuming( each vana e cos was 10 %, hi he than August, and (2) fixed costs were the same in September as in August. (List variable costs before fixed costs.) actual cost n VAUGHN COMPANY Assembling Department Flexible Budget Report For the Month Ended September 30, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs