The fixed budget for 21,800 units of production shows sales of $479,600; variable costs of $65,400; and fixed costs of $141,000.

QS 21-3 (Algo) Flexible budget income calculation LO P1

If the company actually produces and sells 26,300 units, calculate the flexible budget income.

	------Flexible Budget------		------Flexible Budget at ------
	Variable Amount per Unit	Total Fixed Cost	21,800 units	26,300 units
Contribution margin	$0		$0	$0
			$0	$0

QS 21-4 (Algo) Flexible budget performance report LO P1

The companys actual sales were 26,300 units at $533,600. Actual variable costs were $113,700 and actual fixed costs were $132,000. Prepare a flexible budget performance report. Indicate whether each variance is favorable or unfavorable. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.)

Flexible Budget Performance Report
	Flexible Budget	Actual Results	Variances	Favorable/ Unfavorable
Contribution margin	0	0
	$0	$0