Packaging Solutions Corporation manufactures and sells a wide variety of packaging products. Performance reports are prepared monthly for each department. The planning budget and flexible budget for the Production Department are based on the following formulas, where q is the number of labor-hours worked in a month:

Direct labor				$	16.50	q
Indirect labor	$	4,500	+	$	1.60	q
Utilities	$	5,100	+	$	0.80	q
Supplies	$	1,400	+	$	0.10	q
Equipment depreciation	$	18,100	+	$	2.60	q
Factory rent				$	8,100
Property taxes				$	2,500
Factory administration	$	13,000	+	$	0.60	q

The actual costs incurred in March in the Production Department are listed below:

	Actual Cost Incurred in March
Direct labor	$	67,620
Indirect labor	$	10,400
Utilities	$	8,850
Supplies	$	2,030
Equipment depreciation	$	28,500
Factory rent	$	8,500
Property taxes	$	2,500
Factory administration	$	14,750

Required 1. The company had budgeted for an activity level of 4,200 labor-hours in March. Complete the Production Department's planning budget for the month Packaging Solutions Corporation Production Department Planning Budget For the Month Ended March 31 Direct labor Indirect labor Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration Total expense 2. The company actually worked 4,000 labor-hours in March. Complete the Production Department's flexible budget for the month Packaging Solutions Corporation Production Department Flexible Budget For the Month Ended March 31 Direct labor Indirect labor Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration Total expense