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Question - The static budget, at the beginning of the month, for Amira Company follows:
Static budget:
Sales volume: 1,000 units; Sales price: $70.00 per unit
Variable costs: $33.00 per unit; Fixed costs: $36,100 per month
Operating income: $900
Actual results, at the end of the month, follows:
Actual results:
Sales volume: 980 units; Sales price: $74.00 per unit
Variable costs: $35.50 per unit; Fixed costs: $34,700 per month
Operating income: $3,030
Required - Calculate the flexible budget variance for fixed costs.
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