Flexible Budget for Various Levels of Production Budgeted amounts for the year: Required: 1. Prepare a flexible budget for 3,500,4,000, and 4,500 units. 2. CONCEPTUAL CONNECTION Calculate the unit cost at 3,500,4,000, and 4,500 units. (rower: Round unit costs to the nearest cent.) 1. Prepare a flexible budget for 3,500,4,000, and 4,500 units. 2. CONCEPTUAL CONNECTION Calculate the unit cost at 3,500,4,000, and 4,500 units. (Note: Round unit costs to the nearest cent.) Unit cost at 3,500 units Unit cost at 4,000 units $ Unit cost at 4,500 units 5 What happens to unit cost as the number of units produced increases? The cost per unit as the number of units produced increases because fixed cost is spread over a greater number of units