The Northeast District of Vidovich Beverages, Inc., is organized as a cost center. The budget for the Northeast District of Vidovich Beverages, Inc., for the month ended May 31, 2010, is as follows:
Sales salaries $ 569,400
System administration salaries 311,220
Customer service salaries 106,000
Billing salaries 68,560
Maintenance 188,480
Depreciation of plant and equipment 64,050
Insurance and property taxes 28,670
Total $1,336,380
During May, the costs incurred in the Northeast District were as follows:
Sales salaries $ 568,680
System administration salaries 310,900
Customer service salaries 125,080
Billing salaries 68,145
Maintenance 189,530
Depreciation of plant and equipment 64,050
Insurance and property taxes 28,770
Total $1,355,155
Instructions
1. Prepare a budget performance report for the manager of the Northeast District of Vidovich Beverages for the month of May.
2. For which costs might the supervisor be expected to request supplemental reports?