The results for July for Brahms & Sons follow:

	Actual (based on actual sales of 66,000 units)						Master Budget (based on budgeted sales of 64,000 units)
Sales revenues		$	510,000					$	544,000
Less
Variable costs
Direct material			66,000						54,400
Direct labor			82,000						96,000
Variable overhead			89,000						96,000
Marketing			15,800						16,000
Administration			14,200						16,000
Total variable costs		$	267,000					$	278,400
Contribution margin		$	243,000					$	265,600
Less
Fixed costs
Manufacturing			111,000						106,000
Marketing			24,100						16,000
Administration			84,500						83,000
Total fixed costs		$	219,600					$	205,000
Operating profits		$	23,400					$	60,600

Required:

Prepare a profit variance analysis for Brahms & Sons. ( Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.)

BRAHMS & SONS
Profit Variance Analysis
	Actual (66,000 units)	Manufacturing Variance		Marketing & Administration Variance		Sales Price Variance		Flexible Budget (units)	Sales Activity Variance		Master Budget (64,000 units)
Sales revenues	$510,000										$544,000
Variable costs:
Direct material	66,000										54,400
Direct labor	82,000										96,000
Variable overhead	89,000										96,000
Marketing	15,800										16,000
Administration	14,200										16,000
Contribution margin	$243,000							$0			$265,600
Fixed costs:
Manufacturing	111,000										106,000
Marketing	24,100										16,000
Administration	84,500										83,000
Operating profits	$23,400							$0			$60,600