Problem:
Jim's Landscaping is in the business of maintaining and improving yards in surrounding areas. The company bases its overhead cost budgets on the following data:
Variable overhead costs:
Supplies $4 per yard
Machine maintenance $2 per yard
Chemicals $6 per yard
Fixed overhead costs
Salaries and wages $2,300 per month
Depreciation $800 per month
Utilities $400 per month
Rent $1,100 per month
In June, the following actual costs were incurred for 83 yards:
Supplies $320
Machine maintenance $180
Chemicals $500
Salaries and wages $2,500
Depreciation $800
Utilities $450
Rent $1,100
Construct a flexible budget performance report using the data provided. Show computations.