Assignment is fill in the blanks and answer short questions

IS-OL01-18 Exercise 8-6B Using a flexible budget to accommodate market uncertaint (LO 8-4) Salem Cable Installation Services, Inc, is planning to open a new regional office. Based on a market survey Salem commissioned, the company expects services demand for the new office to be between 30,000 and 40,000 hours annually. The firm normally charges customers $30 per hour for its installation services. Salem expects the new office to have a standard variable cost of $16 per hour and standard fixed cost of $430,000 per year Required: a Develop flexible budgets based on 30,000 hours, 35,000 hours, and 40,000 hours of services Flexible Flexible Flexible Budget Budget Budget 30,000 Hours 35,000 Hours 40,000 Hours Sales ($30/hr) ariable costs ($16/hr) Contribution margin Fixed costs Net income b. Based on the results for Requirement a, comment on the likely success of Salen's new oftice