Betsy Stalling manufactures rubber mats for use as barn footings for animal stalls. For the month of March 2021, management has projected sales of 6,000 mats, selling at a price of $40/mat. Fixed costs include fixed manufacturing overhead budgeted at $9,000, advertising budgeted at $7,000 for the month and office rent budgeted at $8,000 for the month. The budgeted variable cost standards are shown below. Variable overhead is allocated based on labor hours.

Budgeted Cost Standards	Budgeted Quantity	Budgeted Price	Budgeted Variable Cost, per mat
Direct Materials	6 lbs. rubber	$1 per lb.	$6.00
Direct Labor	0.2 hours	$13 per DLH	$2.60
Variable Manufacturing Overhead	.02 hours	$3 per DLH	$0.60
Total Variable Standard Cost, per Unit			$9.20

For this assignment, let's assume no variable sales and administrative costs.

a) Prepare a March 2021 Static Budget (see page 376 for an example)

b) Toward the end of March, management reported that they will sale more mats than anticipated, prepare a Flexible budget at 6,500 units, 7,000 units, 7,500 units AND 8,000 units (see page 375 for an example)