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 Planning Actual Results Budget Variances Machine-hours Variable costs 50,000 55,000 Supplies Scrap Indirect materials $ 41,900 44,000 $2,100 F 38,500 93,500 37,900 89,500 600 F 4,000 F 850 F $346,450 354,000 $7,550 F Fixed costs: Wages and salaries Equipment depreciation 98,150 79,000 99,000 79,000 Total cost 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