Question 1 3 pts The following is a flexible budget for Shopper Drug Mart, which is based upon 10,000 units being produced in the quarter. At the end of the quarter, actual results were compared to the flexible budget as shown below: Budget for Quarter 1 Production: Shopper Drug Mart Budget Actual Variance Units of Production 10,000 15,000 Fixed Costs: Supervision 20,000 20,000 Depreciation 5,000 5,000 Property Taxes 6,000 6,000 Insurance 5,000 5,000 Total Fixed Costs 36,000 36,000 Variable Costs: Direct Labour 86,000 70,800 15.200 Supplies & lubricants 30,000 50,000 (20,000) Maintenance 40,000 35,000 5,000 Utilities 20,000 28.000 (8,000) Total Variable Costs 176,000 183,800 (7,800) TOTAL COSTS 212,000 219,800 (7.800) (The above data will be used for this and the following 2 questions.) Based upon the amounts used in creating the above draft report, the President of the company has asked you to assess whether the overall operation had a favorable or unfavorable variance? Favourable overall variance O Unfavourable overall variance