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Appliance Possible Inc. (AP) is a manufacturer of toaster ovens. To improve control over operations, the president of AP wants to begin using a

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Appliance Possible Inc. (AP) is a manufacturer of toaster ovens. To improve control over operations, the president of AP wants to begin using a flexible budgeting system, rather than use only the current master budget. The following data are available for AP's expected costs at production levels of 90,000, 105,000, and 120,000 units. Variable costs Manufacturing $6 per unit Administrative $4 per unit Selling $1 per unit Fixed costs Manufacturing $143,000 Administrative $71,000

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