Sandy Simon, the manager of the Clothing Dept., received this budget report for She has a meeting tomorrow with the Division manager to discuss it (he already! 1. Prepare a flexible budget report with activity and spending variances for Sandy use to explain the reasons for the variances. 2. Prepare a list of "bullet points for Sandy to use to discuss this with her manage DELCO COMPANY CLOTHING DEPARTMENT BUDGET REPORT MONTH ENDED OCTOBER 31, 2015 DIFFERENCE BUDGET ACTUAL FAVOR (UNFAV) Sales in Units 8,000 10,000 2,000 Variable Expenses Sales Commissions S 2,400 $ 2.600 S (200) Advertising Expense 720 850 (130) Travel Expense 3,600 4,100 (500) Free Samples Given Out 1,600 1,400 200 TOTAL VARIABLE 8,320 8,950 (530) Fixed Expenses Rent 1,500 1,500 Sales Salaries 1,200 1,400 200) Office Salaries 800 800 Depreciation - Autos 500 500 TOTAL FIXED 4,000 4,200 TOTAL EXPENSES S 12.320 S 13,150 S (830) (200) SOLUTION TEMPLATE Sales in Units Variable Expenses Sales Commissions Advertising Expense Travel Expense Free Samples Given Out TOTAL VARIABLE Fixed Expenses Rent Sales Salaries Office Salaries Depreciation - Autos TOTAL FIXED TOTAL EXPENSES EXPLANATION OF REASONS FOR KEY VARIAN