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Tajiri Corporation uses customers served as its measure of activity. The following report compares the planning budget to the actual operating results for the month of May:

Tajiri Corporation Comparison of Planning Budget to Actual Results For the Month Ended May 31
	Planning Budget		Actual Results		Variances
Customers served		44,000		45,000
Revenue (3.50q)	$	154,000	$	157,200	$	3,200	F
Expenses:
Wages and salaries ($24,400 + $1.34q)		83,360		84,700		1,340	U
Supplies ($0.74q)		32,560		30,860		1,700	F
Insurance ($6,300)		6,300		6,300		0
Miscellaneous ($5,300 + $.43q)		24,220		22,520		1,700	F
Total expense		146,440		144,380		2,060	F
Net operating income	$	7,560	$	12,820	$	5,260	F

Required:

1.

Complete the company's flexible budget performance report for May. Label each variance as favorable (F) or unfavorable (U). (Input all amounts as positive values. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.)

Tajiri Corporation
Flexible Budget Performance Report Part 1 & 2
For the Month Ended May 31
	Planning Budget		Activity Variances		Flexible Budget	Revenue and Spending Variances		Actual Results
Customers served		44,000							45,000
Revenue	$	154,000	$	(Click to select) F U None	$	$	(Click to select) U F None	$	157,200
Expenses:
Wages and salaries		83,360		(Click to select) F U None			(Click to select) F U None		84,700
Supplies		32,560		(Click to select) F U None			(Click to select) F U None		30,860
Insurance		6,300		(Click to select) F U None			(Click to select) F U None		6,300
Miscellaneous		24,220		(Click to select) F None U			(Click to select) F U None		22,520
Total expense		146,440		(Click to select) U None F			(Click to select) F U None		144,380
Net operating income	$	7,560	$	(Click to select) U None F	$	$	(Click to select) F U None	$	12,820

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