The Machining Department supervisor has been very pleased with this performance because actual expenditures for May-july bave been significantl r less than the monthly static bedget of 563,000. Howevec, the plant manager believes that the budget showld noc remain fined for every thonth but. should "flex or adiust to the volume of work that is produced in the Machinino Department. Additional budoet information for the Machining Department is as followst required, use per unit amouats carried out to two decimal places: b. Compare the flesble budget with the actual Ggenditures for the fint thires manths. The Machining Degartment lus perforeed tetter than origendly theupht b. Compare the flexible budget with the actual expenditures for the first three months. The Machining Department has performed better than originally thought. The department is spending more than would be expected. Stabic budget versus flexble budget The production supervisor of the Machining Department for Hagerstown Company agreed to the following monthly static budget for the upcoming vear The actual amount spent and the actual units produced in the first three months in the Hachiniso Debartment were as folsons: The Machining Department supervicor has been wery pleased wah this peiformance becouse actual mpenditures for Har-luly have been sionificanlify less than the monthly static budont of 563.000 . Mowever, the blant manager believes that the budget ihould not remain ford for every monbi but is as follows