The actual selling expenses incurred in March 2020 by Fallon Company are as follows. Variable Expenses Fixed Expenses Sales commissions $11,178 Sales salaries $35.100 Advertising 12,156 Depreciation 6.500 Travel 6.912 Insurance 1,900 Delivery 3.576 (a) Prepare a flexible budget performance report for March, assuming that March sales were $172,800. Variable costs and their percentage relationship to sales are sales commissions 6%, advertising 7%, traveling 4%, and delivery 2%. Fixed selling expenses will consist of sales salaries $35,100, Depreciation on delivery equipment $6,500, and insurance on delivery equipment $1,900. (List variable costs before fixed costs.) FALLON COMPANY Selling Expense Flexible Budget Report For the Month Ended March 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Sales 172800 172800 Variable Expenses Variable Expenses Sales Commissions $ Unfavorable Advertising Unfavorable Travel 6912 i 6912 i 0 Neither Favorable nor Unfavorable Delivery Unfavorable Total Variable Expenses Unfavorable Fixed Expenses Sales Salaries 35100 i 35100 i 0 Neither Favorable nor Unfavorable Depreciation 6500 i 6500 i 0 Neither Favorable nor Unfavorable Insurance 1900 1900 0 Neither Favorable nor Unfavorable Total Fixed Expenses 43500 43500 Neither Favorable nor Unfavorable Total Expenses $ $ Unfavorable (b) Prepare a flexible budget performance report, assuming that March sales were $180,500. (List variable costs before fixed costs.) FALLON COMPANY Selling Expense Flexible Budget Report For the Month Ended March 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual