Osage, Inc., manufactures and sells lamps. The company produces only when it receives orders and, therefore, has no inventories. The following information is available for the current month:

	Actual (based on actual orders for 450,000 units)						Master Budget (based on budgeted orders for 480,000 units)
Sales revenue		$	4,970,000					$	4,800,000
Less
Variable costs
Materials			1,536,000						1,536,000
Direct labor			226,000						288,000
Variable overhead			627,900						576,000
Variable marketing and administrative			444,000						456,000
Total variable costs		$	2,833,900					$	2,856,000
Contribution margin		$	2,136,100					$	1,944,000
Less
Fixed costs
Manufacturing overhead			678,800						650,000
Marketing			175,000						175,000
Administrative			136,000						115,000
Total fixed costs		$	989,800					$	940,000
Operating profits		$	1,146,300					$	1,004,000

Required:

Prepare a sales activity variance analysis for Osage, Inc., (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.)

Osage Inc

Sales Activity Variance

Flexible Budget Sales Activity Variance Master Budget

Sales Revenue

Variable Costs:

Materials

Direct Labor

Variable Overhead

Variable Marketing and Administrative

Total Variable Costs=

Contribution Margin=

Fixed Costs:

Manufacturing Overhead

Marketing

Administrative

Total Fixed Costs=

Operating Profits=