Take your time this is a question for me to practice on.

Financial information for Quarter 3 2021 is shown below: Capriccio have recently introduced a new product to their range, this product is called 'Arabe'. This is one of the more expensive classical guitars in their range and the sales manager (Mia Vojic) for the company has been concerned as to whether customers would pay the high price that was set for the new guitar ('Arabe). She has stated that the production of such high- quality guitars should be left to the independent manufacturers and not a relatively high- volume manufacturer, such as Capriccio Ltd. Problems have been encountered during the first few months of production due to the high- quality production standards that have been required to produce a guitar of this quality. The production manager (Lewis Munro) has stated that the standards set were not achievable and they will need to be reviewed for future production targets. The standard cost information per unit (per guitar) is shown below: - 4kg 6hrs Materials Labour Variable overhead Fixed overhead Total cost 140.00 150.00 108.00 40.00 438.00 Budgeted sales and production for quarter 3 2021 were 1,600 units. The budgeted selling price is 1,200.00 per guitar. The actual results for quarter 3 2021 were as follows: - 6,750kg 10,500hrs Materials Labour Variable overhead Fixed overhead 249,750 294,000 178,500 61,500 Actual sales and production for quarter 3 were 1,500 units. The actual selling price was 1,080.00 per guitar. The Task You are the Financial Planning and Analysis (FPA) team that provide financial counsel to the Senior Management Team (SMT) at Capriccio Ltd. You are required to prepare a business report covering the assignment requirements detailed below. Specific Requirements of Assignment Brief 1. Using the financial data provided in the scenario above, you are required to prepare an operating statement for quarter 3, calculating a full range of variances. This should be prepared and submitted as a MS Excel document