According to its original plan, Campbell Consulting Services Company plans to charge its customers for service at $128 per hour in Year 2. The company president expects consulting services provided to customers to reach 46,000 hours at that rate. The marketing manager, however, argues that actual results may range from 39,000 hours to 53,000 hours because of market uncertainty. Campbell's standard variable cost is $46 per hour, and its standard fixed cost is $1,360,000. Required Develop flexible budgets based on the assumptions of service levels at 39,000 hours, 46,000 hours, and 53,000 hours.

	Flexible Budget 39,000 Hours	Flexible Budget 46,000 Hours	Flexible Budget 53,000 Hours
Sales
Variable costs
Contribution margin	0	0	0
Fixed costs
Net income	$0	$0	$0