Prepare a budget report based on flexible budget data to help joe. (list variable costs before fixed costs. do not leave any answer field blank. enter 0 for amounts.)

Missing Information in Question:

As sales manager, Joe Batista was given the following static budget report for selling expenses in the Clothing Department of Soria Company for the month of October. SORIA COMPANY Clothing Department Budget Report For the Month Ended October 31, 2017 Difference Budget Actual Favorable Unfavorable Neither Favorable nor Unfavorable Sales in units 7,700 11,000 3,300 Favorable Variable expenses Sales commissions $1,848 $2,640 $792 Unfavorable Advertising expense 924 990 66 Unfavorable Travel expense 3,542 4,400 858 Unfavorable Free samples given out 1,848 1,210 638 Favorable Total variable 8,162 9,240 1,078 Unfavorable Fixed expenses Rent 1,400 1,400 –0– Neither Favorable nor Unfavorable Sales salaries 1,000 1,000 –0– Neither Favorable nor Unfavorable Office salaries 900 900 –0– Neither Favorable nor Unfavorable Depreciation—autos (sales staff) 400 400 –0– Neither Favorable nor Unfavorable Total fixed 3,700 3,700 –0– Neither Favorable nor Unfavorable Total expenses $11,862 $12,940 $1,078 Unfavorable As a result of this budget report, Joe was called into the president’s office and congratulated on his fine sales performance. He was reprimanded, however, for allowing his costs to get out of control. Joe knew something was wrong with the performance report that he had been given. However, he was not sure what to do, and comes to you for advice. Prepare a budget report based on flexible budget data to help Joe. (List variable costs before fixed costs. Do not leave any answer field blank. Enter 0 for amounts.) SORIA COMPANY Selling Expense Flexible Budget Report Clothing Department For the Month Ended October 31, 2017 Difference Budget Actual Favorable Unfavorable Neither Favorable nor Unfavorable $ $ $ $ $ $

Explanation:

As per the given information, the budget report can be listed as;

                      Budget     Actual    Difference

Sales in units11000110000

Variable Costs:  

Sales commissions ($1716/7800 x11000)24202640220

Advertising expense ($780/7800 x11000)110011000

Travel expense $3744/7800 x 11000)52804950330

Free samples given out ($1482/7800 x11000)20901210880

Total Variable Costs108909900990

Fixed Costs:  

Rent170017000

Sales salaries140014000

Office salaries9009000

Depreciation-autos (sales staff)6006000

Total Fixed Costs460046000

Total Costs1549014500990