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Packaging Solutions Corporation manufactures and sells a wide variety of packaging products. Performance reports are prepared monthly for each department. The planning budget and flexible budget for the Production Department are based on the following formulas, where q is the number of labor-hours worked in a month: Cost Formulas Direct labor Indirect labor $16.20q $4,200 $1.70g $5,400 $0.50q $1,400 $0.40g $18,500 $2.70q $8,000 $2,700 $13,800$0.60q Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration The Production Department planned to work 4,100 labor-hours in March; however, it actually worked 3,900 labor- hours during the month. Its actual costs incurred in March are listed below: Actual Cost Incurred in March 64,740 $10,350 $ 7,840 $ 3,250 $29,030 $ 8,400 $ 2,700 $ 15,490 Direct labor Indirect labor Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration Prepare the Production Department's planning budget for the month. Packaging Solutions Corporation Production Department Planning Budget For the Month Ended March 31 Direct labor Indirect labor Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration Total expense Prepare the Production Department's flexible budget for the month. Packaging Solutions Corporation Production Department Flexible Budget For the Month Ended March 31 Direct labor Indirect labor Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration Total expense Prepare the Production Department's flexible budget performance report for March, including both the spending and activity (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero v Input all amounts as positive values.) Packaging Solutions Corporation Production Department Flexible Budget Performance Report For the Mont nth Ended March 31 Flexible Budget Actual Results Planning Budget Labor-hours 3,900 Direct labor 64,740 Indirect labor 10,350 Utilities 7,840 Supplies Equipment depreciation Factory rent Property taxes Factory administration 3,250 29,030 8,400 2,700 15,490 141,800 Total expense

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