Alma's Recording Studio rents studio time to musicians in 2-hour blocks. Each session includes the use of the studio facilities, a digital recording of the performance, and a professional music producer/mixer. Anticipated annual volume is 1,070 sessions. The company has invested $2,340,000 in the studio and expects a return on investment (ROI) of 20%. Budgeted costs for the coming year are as follows Per Session $ 20.03 $406.00 45.00 Total Direct materials (CDs, etc.) Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses $1,013,290 S 42.00 $531,790