Required:
1. Using text Exhibit 14.4 as a guide, complete the missing parts of the following profit report for December.
2. Based on your completed profit report, determine the dollar amount, and label (Favorable or Unfavorable) each of the following variances for December:
a. Total master (static) budget variance (also referred to as the total operating income variance for the period).
b. Total flexible-budget variance.
c. Sales volume variance, in terms of operating income.
d. Sales volume variance, in terms of contribution margin.
e. Selling price variance.
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