Comprehensive problem. Sports, Inc., produces shirts for sports teams. The company has the following master budget income statement for the month of August:

Master Budget (based on 18,000 units)

Sales Revenue (18,000 units at $20)                               $360,000

Variable   Manufacturing   Costs                                      $180,000

Variable Marketing and Administrative Costs                     $ 18,000

Contribution Margin

Fixed Manufacturing Costs                                              $ 80,000

Fixed Marketing  and Administrative Costs                        $ 20,000

The company uses the following estimates to prepare the master    budget:

Sales  Price                                                               $20 per Unit

Sales  and  Production  Volume                                   18,000 Units

Variable   Manufacturing   Costs                                  $10 per Unit

Variable  Marketing and Administrative  Costs               $1 per Unit

Fixed Manufacturing Costs                                          $80,000

Fixed  Marketing  and  Administrative Costs                  $20,000

Assume that the actual results for August were as   follows:

Actual

Sales  Price                                                                               $21 per Unit

Sales  and  Production  Volume                                                   20,000 Units

Variable   Manufacturing   Costs                                                  $230,880

Variable  Marketing and Administrative  Costs                               $22,000

Fixed Manufacturing Costs                                                          $82,000

Fixed  Marketing  and  Administrative Costs                                  $18,000

Compare the master budget, flexible budget, and actual results for the month of August.