The actual selling expenses incurred in March 2022 by Blue Spruce Company are as follows. Variable Expenses Fixed Expenses Sales commissions $13,860 Sales salaries $44,100 Advertising 8,694 Depreciation 8,820 Travel 6,426 Insurance 1,260 Delivery 4,347 Variable costs and their percentage relationship to sales are sales commissions 6%, advertising 4%, travel 3%, and delivery 2%. Fixed selling expenses will consist of sales salaries $44,100, Depreciation on delivery equipment $8,820, and insurance on delivery equipment $1,260.

(b) Prepare a flexible budget performance report, assuming that March sales were $226,800. (List variable costs before fixed costs.)