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Mesa Company's fixed budget for the first quarter of calendar year 2 0 1 1 reveals the following. Prepare flexible budgets that show variable costs

Mesa Company's fixed budget for the first quarter of calendar year 2011 reveals the following.
Prepare flexible budgets that show variable costs per unit, fixed costs, and three different
flexible budgets for sales volumes of 7,500,10,000 and 12,500 units.
Sales (10,000 units)3.000.000
Cost of Goods Sold
Direct Materials 320.000
Direct Labour 680.000
Production Supplies 264.000
Plant Manager Salary 60.000
Cost of Goods Sold 1.324.000
Gross Profit 1.676.000
Selling Expenses
Sales Commissions 120.000
Packaging 210.000
Advertising 100.000
Total Selling Expenses 430.000
Administrative Expenses
Administrative Salaries 80.000
Depreciation - Office Equip 30.000
Insurance 18.000
Office Rent 24.000
Total Administrative Expenses 152.000
Income from Operations 1.094.000
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