The accountant for a subunit of Thornton Sports Company went on vacation before ­completing the subunit€™s monthly performance report. This is as far as she got:

Requirements
1. Complete the performance evaluation report for this subunit.
2. Based on the data presented, what type of responsibility center is this subunit?
3. Which items should be investigated if part of the management€™s decision criteria is to investigate all variances exceeding $ 15,000? Interpret your results. (What could cause these variances? What impact might these variances have on company ­inventory ­levels andoperations?)

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Ski Products Subunit-Thornton Sports Company Flexible Budget Performance Report: Sales For the Month Hoxible BudgstFloxibla Volume Variance Master Budget 5 6 Downhill Model RI 7 Downhil Model RII 8 Cross-Country Model EX1 Variance Budget S 323,000 152,000 301,000 143,000 308,000 265 500 400,000 19,000 F 165,000 290,000 245,000 289,000 1,000 U 20,500 Cross-Country Model EXIT 10 Snowboard Model LXI 11 lota 12 255,000 420,000 S 1439,000 4,000 F