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 report for the company's Assembly Department for the month of March follows:

Assembly Department Cost Report For the Month Ended March 31
	Actual Results		Planning Budget		Variances
Machine-hours		15,000		20,000
Variable costs:
Supplies	$	11,100	$	11,700	$	600	F
Scrap		40,600		43,500		2,900	F
Indirect materials		115,400		138,000		22,600	F
Fixed costs:
Wages and salaries		84,700		79,000		5,700	U
Equipment depreciation		109,000		109,000
Total cost	$	360,800	$	381,200	$	20,400	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 cant understand why those people upstairs complain so much about the reports.

For the last several years, the companys marketing department has chronically failed to meet the sales goals expressed in the companys monthly budgets.

1.Complete the new performance report for the quarter, based on Flexible Budget Performance approach.

Westmont Corporation Assembly Department Flexible Budget Performance Report For the Month Ended March 31 Actual Results Flexible Budget Planning Budget 20,000 Machine-hours (9) 15,000 $ Supplies Scrap Indirect materials Wages and salaries Equipment depreciation Total $ 11,100 40,600 115,400 84,700 109,000 $ 360,800 11,700 43,500 138,000 79,000 109,000 381,200 $