Flexible Budgeting At the beginning of the period, the Assembly Department budgeted direct labor of $64,800 and property tax of $36,000 for 3,600 hours of production. The department actually completed 4,300 hours of production. Determine the budget for the department, assuming that it uses flexble budgeting. 120,400 X Feedback Check My Wink Remember that a flexible budget is constructed by first identifying the relevant activity levels, secondly identifying the fixed and variable cost components of the costs being budgeted, and then preparing the budget for each activity level. A