Answer Happy

ABCCompanymanufactureschairsfortheretailmarket. TheDecemberbudgetedamountsweretomanufacture28,000 chairs,atavariablecostof$60perchair. Thebudgetedtotalfixedcostswere$575,000andthebudgetedsellingpriceper chairwas$120. Theactualsaleswere25,500chairsthatweresoldfor$125each. Theactualtotalvariablecostswere $1,912,500andtheactualfixedcostswere$525,000.
Required:
1. Prepare a performance report that uses a flexible budget and a static budget.
2. Comment on the results in #1