The master budget at Windsor, Inc., last period called for sales of 90,000 units at $12 each. The costs were estimated to be $5 variable per unit and $300,000 fixed. During the period, actual production and actual sales were 92,000 units. The selling price was $12.15 per unit. Variable costs were $5.90 per unit. Actual fixed costs were $300,000.

Required:

Prepare a sales activity variance analysis Exhibit 16.4. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Leave no cells blank - be certain to enter "0" wherever required.)

Windsor, Inc.
Sales Activity Variance
	Flexible Budget (based on actual of 92,000 units)	Sales Activity Variance		Master Budget (based on budgeted 90,000 units)
Sales revenue	$1,104,000
Variable costs	460,000
Contribution margin	$644,000
Fixed costs	300,000
Operating profits