State Budget vers le taget The production supervisor of the Machining Department for Niiand Company agreed to the following monthly static budget for the upcoming year: Niland Company Machining Department Monthly Production Budget Wages 5439,000 Us 22,000 Depreciation 37,000 Total 1495,000 The actual amount sent and the actual units produced in the first three months in the Machining Department were as follows Amount Spent Units Produced January 5470,000 112,000 February 445,000 102,000 March 427,000 92,000 The Machining Department supervisor has been very pleased with this performance because it expenditures for January March have bem significantly than me monthly statke budget of 400,000. However, the plant manager believes that the budget should not remanfed for every month but should berort to the volume of work that is produced in the Machining thepartment Accona de formation to the Machining Department is an fotos Wages per hour SIR lity cost per director hour 50 Director hours per unit 0.2 Planned and pro 122.000 Prepare a few yet for the actual productory February, and March in the Machine Au decis corred, permet daca aces Niland Company Machining Department Budget For the Three Months Ending March 31 January February Units of production 112,000 102,000 Wages March 92,000 Utilities Depreciation Total 112,000 102,000 92,000 Supporting calculations: Units of production Hours per unit Total hours of production Wages per hour biddinobut Total wages Total hours of production X $ X $ Utility costs per hour Total utilities b. Compare the flexible budget with the actual expenditures for the first three months. January February Total flexible budget March Actual cost Excess of actual cost over budget What does this comparison suggest