Question 4 Clarke Inc. operates the Patio Furniture Division as a profit center. Operating data for this division for the year ended December 31, 2017, are as shown below. Difference Budget from Budget $2,501,400 $46,000 Favorable 1,309,500 206,500 39,500 Favorable 3,000 Unfavorable Sales Cost of goods sold Variable Controllable fixed Selling and administrative Variable Controllable fixed Noncontrollable fixed costs 216,2006,900 Unfavorable 50,000 1,700 Unfavorable 73,500 3,700 Unfavorable In addition, Clarke incurs $175,000 of indirect fixed costs that were budgeted at $171,900. Twenty percent (20%) of these costs are allocated to the Patio Furniture Division. Prepare a responsibility report for the Patio Furniture Division for the year. (List variable costs before fixed costs.) CALCULA Patio Furniture DIVISION Responsibility Report For the Year Ended December 31, 2017 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual