Stabc Budget versus Flenole Budget. The production supenvisor of the Machining Department for Niland Compary agreed to the following menthly static budget for the upcoming year: The actaal ambunt spent and the actual units produced in the first three manths in the Machining Department were as follews: The Machining Department supervisor has been very pieased with this perfarmance because actual expendtures for lartuary-March have betn less than the monthly static budget of $942,000. However, the plant manager beleves that the budget should not remain fixed for every mench but should "fex" or adjuit bo che volume of work that is produced in the Machioing Department. Adstional budpet information for the Machining Desartment is as foltowi: a. Prepare a flexible budget for the actual units produced for January, February, and March in the Machining Department, Assume that deseredation is a ficed cose. Enter all amounts as positive numbers. If required, use per unit amounts carried out to two decimal places. Niland Cempany-Machining Department b. Compare the fexible budget with the actual expenditures for the first three months. What does this comparison suggest? The Machining Department has berfornied Better than oniginally thought. The department is spending more than would be expected