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 Departnent Cost Report For the Month Ended March 31 Actual Planning Variances Machine-hours Results Badget 15,000 20,000 Variable costs Supplies Serap Indirect materials Fixed costs: Wages and salaries Equipment depreciation Total cont $ 10,200 $ 10,800 $ 600 36,400 39,000 2,600 104,600 124,500 19,900 81.100 76,000 5,100 U 106,000 106,000 $333,300 5356,300 $18,000 T 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 foiled to meet the sales goals expressed in the company's monthly budgets Required: 1. The company's president is uncosy about the cost reports, identity at least two reasons, 2. What kind of reports should be used to give better insight into how well departmental supervisors are controlling costs? 3. Complete the new performance report for the quarter based on Flexible Budget Performance approach 4. Were costs well controlled in March? 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. Required: 1. The company's president is uneasy about the cost reports, identify at least two reasons. 2. What kind of reports should be used to give better insight into how well departmental supervisors are controlling costs? 3. Complete the new performance report for the quarter, based on Flexible Budget Performance approach. 4. Were costs well controlled in March? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 The company's president is uneasy about the cost reports, identify at least two reasons. (Select " the item is one of the reasons.) Cost reports are ineffective since budgeted costs at one level of activity are compared to actual costs at another level of activity Cout reports show whether fixed costs are controlled and do not show whether variable costs are controlled Cost reports are offective since budgeted costs at one level of activity are compared to actual costs at another level of activity Cost reports show whether fixed costs and variable costs are controlled Required Required 2 > For the last several years, the company's marketing department has chronically failed to meet the sales goals expressed int company's monthly budgets. Required: 1. The company's president is uneasy about the cost reports, Identify at least two reasons. 2. What kind of reports should be used to give better insight into how well departmental supervisors are controlling costs? 3. Complete the new performance report for the quarter, based on Flexible Budget Performance approach. 4. Were costs well controlled in March? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 What kind of reports should be used to give better insight into how well departmental supervisors are controlling costs? Flexible budget performance reports must be used Fixed budget performance reports must be used Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Complete the new performance report for the quarter, based on Flexible Budget Performance approach. (Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (le, zero variance). Input all amounts as positive values.) Westmont Corporation Assembly Department Flexible Budget Performance Report For the Month Ended March 31 Actual Flexible Planning Budget Budget Machine-hours (9) 15,000 20,000 Results Supplies Scrap Indirect materials Wages and salaries Equipment depreciation Total $ 10.2001 36,400 104.600 85,100 105,000 $ 338,300 $ 10.800 39,000 124,500 76,000 106,000 $ 356,300 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. Required: 1. The company's president is uneasy about the cost reports, identify at least two reasons. 2. What kind of reports should be used to give better insight into how well departmental supervisors are controlling costs? 3. Complete the new performance report for the quarter, based on Flexible Budget Performance approach. 4. Were costs well controlled in March? Complete this question by entering your answers in the tabs below. Required 4 Required Required 2 Required 3 Were costs well controlled in March? Costs were well controlled Conts were not well controlled