Standard price and variable costs

Sales price

Materials cost

Labor cost

Overhead cost

Selling, general, and administrative costs

$$36\mathrm{.}60$

$8\mathrm{.}10$

$3\mathrm{.}70$

$5\mathrm{.}80$

$6\mathrm{.}50$

Planned fixed costs

Manufacturing overhead

$$127,000$

Selling, general, and administrative

$47,000$

Benson planned to make and sell $30,000$ copies of the book.

Required:

a$.-$ d$.$ Prepare the pro forma income statement that would appear in the master budget and also flexible budget income statements, assuming production volumes of $29,000$ and $31,000$ units. Determine the sales and variable cost volume variances, assuming volume is actually $31,000$ units. Indicate whether the variances are favorable $($F$)$ or unfavorable $($U$).($Select "None" if there is no effect $($i$.$e$.,$ zero variance$).)$

$\backslash$table$[[$Number of units,$\backslash$table$[[$Master Budget$],[30,000]],$Flexible Budgets,Volume Variances$],[29,000,31,000],[$Sales revenue$],[$Variable manufacturing costs$],[$Materials$],[$Labor$],[$Manufacturing overhead$],[$Variable selling general, and administrative costs$],[$Contribution margin,$0,0,0,],[$Fixed costs$],[$Manufacturing overhead$],[$Fixed selling, general, and administrative costs$],[$Net income,$$,0,$$$,]]$