• Elroy Co. has prepared the following fixed budget for the year, assuming production and sales of 30,000 units. This level of production represents 80% of capacity.

Elroy Co.. Fixed Budget For Year Ending December 31
Sales................................................		$1,500,000
Cost of good sold:
Direct materials..........................................	$540,000
Direct labor................................................	300,000
Indirect materials (variable).........................................	15,000
Indirect labor (variable).........................................	21,000
Depreciation...............................	180,000
Salaries.......................................	90,000
Utilities (80% fixed)..............................................	54,000
Maintenance (40% variable)..........................................	33,000	1,233,000
Gross profit...............................................		$ 267,000
Operating expenses:
Commissions..............................	$ 45,000
Advertising (fixed).............................................	60,000
Wages (variable).........................................	15,000
Rent............................................	30,000
Total operating expenses.........................................		150,000
Income from operations.......................................		$ 117,000

Calculate the following flexible budget amounts at the indicated levels of capacity:

	Operations at	Operations at
	60% of Capacity	75% of Capacity
Sales	____________	_____________
Total variable costs	____________	_____________
Total fixed costs	____________	_____________
Income from operations	____________	_____________