Several years ago, Westmont Corporation developed a comprehensive budgeting system for planning and control purposes. While departmental supervisors have been happy with the system, the factory manager has expressed considerable dissatisfaction with the information being generated by the system. A typical departmental cost report for a recent period follows: Assembly Department Cost Report For the Month Ended March 31 Actual Planning Results Budget Variances 15,000 20,000 Machine-hours Variable costs: Supplies Scrap Indirect materials $ 9,000 $ 9,600 $ 600 F 30,800 33,000 2,200 F 90,200106,500 16,300 F Fixed costs: 76,300 72,0004,300 U Wages and salaries Equipment depreciation 102,000 102,000 Total cost $ 308,300 $323,100 $ 14,800 F After receiving a copy of this cost report, the supervisor of the Assembly Department stated, "These reports are super. It makes me feel really good to see how well things are going in my department. I can't understand why those people upstairs complain so much about the reports." For the last several years, the company's marketing department has chronically failed to meet the sales goals expressed in the company's monthly budgets