The following is a partially completed performance report for Surf Time. (Click the icon to view the information.) 0 Data table Read the requirements. F 1. How many pools did Surf Time originally think they would install in April? The that Surf Time planned to sell pools in April. 2. How many pools did Surf Time actually install in April? The that Surf Time installed Master Budget pools in April A B D E 1 Surf Time 2 Flexible Budget Performance Report: Sales and Operating Expenses 3 For the Year Ended April 30 Flexible Budget Flexible Volume 4 Actual Variance Budget Variance 51 5 Sales volume (number of pools installed) ? ? ? 6 Sales revenue $ 104.000 ? $ 110,000 ? 7 Operating expenses: 8 Variable expenses $ 56,000 ? $ 62,000 ? 9 Fixed expenses 27,000 ? 31,300 ? ? ? ? ? 10 Total operating expenses 4 3. How many pools is the flexible budget based on? Why? $ 88,000 The flexible budget for performance reports is always based on the that managers can compare to output for the month. This is done so meaning they can compare $ 49,600 31,300 ? Therefore, Surf Time's flexible budget is based on pools 4. What was the budgeted sales price per pool? (Round your answer to the nearest whole dollar.) The budgeted sales price is per pool. Print Done 5. What was the budgeted variable cost per pool? (Round your answer to the nearest whole dollar.) The budgeted variable cost is per pool. 6. Define the flexible budget variance. What causes it? As the name suggests, the flexible budget variance is the difference between the and the Since the and the v are based on of output, this variance highlights unexpected revenues and expenses that are caused by factors other than 7. Define the volume variance. What causes it? The volume variance is the difference between the and the V. The only difference between these two budgets is the Therefore, the volume variance is caused by differences between 8. Fill in the missing numbers in the performance report. Be sure to indicate whether variances are favorable (F) or unfavorable (U). (Enter the variances as positive numbers. Label each variance as favorable (F) or unfavorable (U). If the variance is 0, make sure to enter in a "0". A variance of zero is considered favorable.) Surf Time Flexible Budget Performance Report: Sales and Operating Expenses For the Year Ended April 30 Flexible Budget Variance Flexible Budget Actual Volume Variance Master Budget 4 Output units (pools installed) 5 $ 104,000 $ 110,000 $ 88,000 Sales rever revenue Operating expenses: Variable expenses Fixed expenses Total operating expenses 56,000 27,000 62,000 31,300 49,600 31,300