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Required information Skip to question [ The following information applies to the questions displayed below. ] Phoenix Company reports the following fixed budget. It is

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Skip to question
[The following information applies to the questions displayed below.]
Phoenix Company reports the following fixed budget. It is based on an expected production and sales volume of 15,400 units.
PHOENIX COMPANY
Fixed Budget
For Year Ended December 31
Sales $ 3,234,000
Costs
Direct materials 1,001,000
Direct labor 231,000
Sales staff commissions 46,200
DepreciationMachinery 300,000
Supervisory salaries 197,000
Shipping 231,000
Sales staff salaries (fixed annual amount)251,000
Administrative salaries 617,100
DepreciationOffice equipment 198,000
Income $ 161,700
Phoenix Company reports the following actual results. Actual sales were 18,400 units.
Sales (18,400 units) $ 3,910,000
Costs
Direct materials $ 1,210,720
Direct labor 283,360
Sales staff commissions 46,000
DepreciationMachinery 300,000
Supervisory salaries 208,000
Shipping 267,720
Sales staff salaries (fixed annual amount)270,000
Administrative salaries 626,100
DepreciationOffice equipment 198,000
Income 500,100
Required:
Prepare a flexible budget performance report for the year.
Note: Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "No variance" and enter "0" for zero variance.

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