Four Flags is a retail department store. On January 1, 2012, Four Flags' accountants used the following data to develop the master budget for Four Flags for 2012:
| Cost |
Fixed
|
Variable (per unit sold)
|
| Cost of Goods Sold |
$0
|
$5.80
|
| Selling and Promotion Expense |
$200,000
|
$0.80
|
| Building Occupancy Expense |
$180,000
|
$0.10
|
| Buying Expense |
$155,000
|
$0.40
|
| Delivery Expense |
$105,000
|
$0.10
|
| Credit and Collection Expense |
$78,000
|
$0.01
|
Expected unit sales in 2012 were 1,250,000, and 2012 total revenue was expected to be $12,500,000. Actual 2012 unit sales turned out to be 1,000,000, and total revenue was $10,000,000. Actual total costs in 2012 were:
| Cost of Goods Sold |
$6,000,000 |
| Selling and Promotion Expense |
$900,000 |
| Building Occupancy Expense |
$490,000 |
| Buying Expense |
$680,000 |
| Delivery Expense |
$200,000 |
| Credit and Collection Expense |
$70,000 |
Required: Compute the flexible-budget variances for the following two cost items (enter favorable variances as positive numbers and unfavorable variances as negative numbers):