Exercise 8-2 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000 units) for the first quarter of calendar year 2017 reveals the following Fixed Budget Sales (10,000 units) Cost of goods sold $2,080,000 $240,000 430,000 270,000 Direct materials Direct labor Production supplies Plant manager salary 40,000 980,000 Gross profit Selling expenses 1,100,000 Sales commissions Packaging Advertising 70,000 150,000 100,000 320,000 Administrative expenses Administrative salaries Depreciation-office equip Insurance Office rent 90,000 60,000 30,000 40,000 220,008 $ 560,000 Income from operations Complete the following flexible budgets for sales volumes of 8,000, 10,000, and 12,000 units. (Round cost per unit to 2 decimal places.) TEMPO COMPANY TEMPO COMPANY Flexible Budgets For Quarter Ended March 31, 2017 Flexible Budget Variable Total Fixed 8,000 units 10,000 units Flexible Budget at-- Cost units Unit Variable costs: Fixed costs