32. The Wollongong Company, estimating its sales to be 20,000 units for the upcoming period, prepared the following static budget:

Units: 20,000

Sales $200,000

Less variable costs:

Manufacturing costs 70,000

Selling and administrative costs 40,000

Contribution margin $90,000

Less fixed costs:

Manufacturing costs 22,000

Selling and administrative costs 17,000

Net income $51,000

The actual sales volume was 18,000. Prepare a flexible budget based on 18,000 units for the upcoming period.

	Price/cost per unit	Master Budget Units	Flexible Budget Units