Chap 15 Prob 19 G Help Save & Exit Submit Saved Check my work Howard Cooper, the president of Adams Computer Services, needs your help. He wonders about the potential effects on the firm's net income if he changes the service rate that the firm charges its customers. The following basic data pertain to fiscal year 2019. 10 points Standard rate and variable costs Service rate per hour Labor cost Overhead cost Selling, general, and administrative cost $ 81.8e 48.88 6.50 3.78 Skipped e Book Expected fixed costs Facility maintenance Selling, general, and administrative $517,88e 144,000 Required a. Prepare the pro forma income statement that would appear in the master budget if the firm expects to provide 31,000 hours of b. A marketing consultant suggests to Mr. Cooper that the service rate may affect the number of service hours that the firm can services in 2019 achieve. According to the consultant's analysis, if Adams charges customers $76 per hour, the firm can achieve 37,000 hours of services. Prepare a flexible budget using the consultant's assumption. c. The same consultant also suggests that if the firm raises its rate to $86 per hour, the number of service hours will decline to 27,000. Prepare a flexible budget using the new assumption. Complete this question by entering your answers in the tabs below