Problem 8-19A Determining and interpreting flexible budget variances [LO 4]

Todhunter Publications established the following standard price and costs for a hardcover picture book that the company produces.

Standard price and variable costs
Sales price	$	36.80
Materials cost		9.00
Labor cost		4.40
Overhead cost		5.80
Selling, general, and administrative costs		6.40
Planned fixed costs
Manufacturing overhead	$	126,000
Selling, general, and administrative		45,000

Assume that Todhunter actually produced and sold 35,000 books. The actual sales price and costs incurred follow.

Actual price and variable costs
Sales price	$	35.80
Materials cost		9.20
Labor cost		4.30
Overhead cost		5.85
Selling, general, and administrative costs		6.20
Actual fixed costs
Manufacturing overhead	$	111,000
Selling, general, and administrative		51,000

Required:

Determine the flexible budget variances and also indicate the effect of each variance by selecting "Favorable", "Unfavorable", or "None" (No effect) (i.e., zero variance). (Input all amounts as positive values. Omit the "$" sign in your response.)