Translation of Operating Budget

	MXN
Budget	Actual
Revenues	45,000,000	42,000,000
Expenses	36,000,000	38,000,000

Exchange Rates	CAD/MXN
Actual exchange rate at time of budget preparation (TOB)	0.071
Projected ending exchange rate at time of budget preparation (TOB)	0.068
Actual exchange rate at end of budget period (EOP)	0.062

Required:

Calculate the total budget variance in Canadian dollars (CAD) for the current year using each of the five combinations of exchange rates for translating budgeted and actual results shown in Exhibit 10.10.

Identify which combination of exchange rates results in the smallest total budget variance and which combination of exchange rates results in the largest total budget variance.