Exercise 9-1 Prepare a Flexible Budget [LO9-1]

Puget Sound Divers is a company that provides diving services such as underwater ship repairs to clients in the Puget Sound area. The companys planning budget for May appears below:

Puget Sound Divers Planning Budget For the Month Ended May 31
Budgeted diving-hours (q)		250
Revenue ($390.00q)	$	97,500
Expenses:
Wages and salaries ($11,000 + $126.00q)		42,500
Supplies ($5.00q)		1,250
Equipment rental ($2,100 + $26.00q)		8,600
Insurance ($3,800)		3,800
Miscellaneous ($540 + $1.48q)		910
Total expense		57,060
Net operating income	$	40,440

During May, the companys actual activity was 240 diving-hours.

Required:

Prepare a flexible budget for May. (Round your answers to the nearest whole number.)