World-Tec Company sells electronics over the Internet. The International Division is organized as a cost center. The budget for the International Division for the month ended March 31, 2012, is as follows (in thousands):
Customer service salaries ………………………. $ 325,000
Insurance and property taxes ………………………... 68,250
Distribution salaries ………………………………… 519,250
Marketing salaries ………………………………….. 612,125
Engineer salaries …………………………………… 498,125
Warehouse wages ………………………………….. 348,800
Equipment depreciation …………………………… 109,400
Total ……………………………………………. $2,481,450
During March, the costs incurred in the International Division were as follows:
Customer service salaries ………………………. $ 416,700
Insurance and property taxes ………………………... 66,200
Distribution salaries ………………………………… 514,000
Marketing salaries ………………………………….. 685,500
Engineer salaries …………………………………… 488,100
Warehouse wages ………………………………….. 334,900
Equipment depreciation …………………………… 109,375
Total ……………………………………………. $2,614,775
Required:
1. Prepare a budget performance report for the director of the International Division for the month of March. Enter all amounts as positive numbers.
2. For which costs might the director be expected to request supplemental reports?
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