Answer Happy

Thornton Company has provided the following for the year. Budget Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense Variances $509,000 201,000 49,000 2,900 15,800 23,400 1,700 720 Sales 7,900 U 4,600 F 2,100 U Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense 2,000 U 290 F 470 F 190 U 140 F Required a. Prepare in good form a budgeted and actual income statement for internal use. Separate operating income from net income in the statements and indicate whether each variance is favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).)
THORNTON COMPANY Internal Income Statement Budget Actual Variance Effect Sales Variable expenses: 0 0 Fixed expenses: 0 0 $ 0 $ 0