Cimarron Company's fixed budget performance report for July follows. The $630,000 budgeted expenses include $588,000 variable expenses and $42,000 fixed expenses. Actual expenses include $54,000 fixed expenses. Prepare a flexible budget performance report that shows any variances between budgeted results and actual results. List fixed and variable expenses separately.
|
|
Fixed Budget
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Actual Results
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Variances
|
|
Sales (in units)
|
8,400
|
10,800
|
|
|
Sales (in dollars)
|
$840,000
|
$1,080,000
|
$240,000 F
|
|
Total expenses
|
630,000
|
756,000
|
126,000 U
|
|
Income from operations
|
$210,000
|
$ 324,000
|
$114,000 F
|