The St. Lucia Blood Bank, a private charity partly supported bygovernment grants, is located on the Caribbean island of St. Lucia.The blood bank has just finished its operations for September,which was a particularly busy month due to a powerful hurricanethat hit neighboring islands causing many injuries. The hurricanelargely bypassed St. Lucia, but residents of St. Lucia willinglydonated their blood to help people on other islands. As aconsequence, the blood bank collected and processed over 20% moreblood than had been originally planned for the month.

A report prepared by a government official comparing actualcosts to budgeted costs for the blood bank appears below. Continuedsupport from the government depends on the blood bank’s ability todemonstrate control over its costs.

St. Lucia Blood Bank Cost Control Report For the Month Ended September 30
	Actual Results		Planning Budget		Variances
Liters of blood collected		880		700
Medical supplies	$	10,311	$	8,155	$	2,156	U
Lab tests		12,223		10,045		2,178	U
Equipment depreciation		2,100		1,900		200	U
Rent		1,600		1,600		0
Utilities		338		310		28	U
Administration		14,055		13,890		165	U
Total expense	$	40,627	$	35,900	$	4,727	U

The managing director of the blood bank was very unhappy withthis report, claiming that his costs were higher than expected dueto the emergency on the neighboring islands. He also pointed outthat the additional costs had been fully covered by payments fromgrateful recipients on the other islands. The government officialwho prepared the report countered that all of the figures had beensubmitted by the blood bank to the government; he was just pointingout that actual costs were a lot higher than promised in thebudget.

The following cost formulas were used to construct the planningbudget:

	Cost Formulas
Medical supplies	$11.65q
Lab tests	$14.35q
Equipment depreciation	$1,900
Rent	$1,600
Utilities	$310
Administration	$1.70q

  

Required:

1. Complete the performance report for September using theflexible budget approach. (Indicate the effect of eachvariance by selecting "F" for favorable, "U" for unfavorable, and"None" for no effect (i.e., zero variance). Input all amounts aspositive values. Do not round intermediate calculations and roundyour final answers to nearest whole dollar.)

	St. Lucia BloodBank Flexible BudgetPerformance Report For the MonthEnded September 30 ActualResults SpendingVariances FlexibleBudget ActivityVariances PlanningBudget Medicalsupplies $10,311 $8,155 Lab tests 12,223 10,045 Equipmentdepreciation 2,100 1,900 Rent 1,600 1,600 Utilities 338 310 Administration 14,055 13,890 Totalexpense $40,627 $35,900