The budgeted and actual results of Powers Inc. for the month of June were as follows. The company uses a marginal costing system. There were no opening and closing inventories.

Static Budget

Actual Results

Sales & Production

$2,500$ units

$2,000$ units

$

$

$

$

Sales

$60,000$

$50,000$

Direct materials

$12,500$

$12,000$

Direct labour

$10,000$

$8,000$

Variable overhead

$5,000$

$4,500$

Other Costs

$5,000$

$5,500$

Rent & Rates

$7,500$

$7,000$

Total Costs

$40,000$

$37,000$

Profit$/$Loss

$20,000$

$13,000$

The following information relates to cost behaviour: Other costs consist of fixed costs of $$2,000,$ plus a variable cost of $$1\mathrm{.}50$ per unit made and sold.

What are the Flexible Budget$$s Profit$/$Loss$,$ and the related Variance when compared to the Actual Results$$ Profit?

Question $20$Select one:

A$.$

$$13,500$ and $$500($F$)$

B$.$

$$13,500$ and $$500($A$)$

C$.$

$$12,100$ and $$6,400($F$)$

D$.$

$$12,100$ and $$4,400($F$)$