Paynesville Corporation manufactures and sells a preservative used in food and drug manufacturing. The company carries no inventories. The master budget calls for the company to manufacture and sell 106,000 liters at a budgeted price of $120 per liter this year. The standard direct cost sheet for one liter of the preservative follows Direct materials Direct Tabor (2 pounds @ $7) (9.5 hours @ $30) $14 15 Variable overhead is applied based on direct labor hours. The variable overhead rate is $50 per direct-labor hour. The fixed overhead Tate (at the master budget level of activity) is $25 per unit. All non-manufacturing costs are fixed and are budgeted at $1.5 million for the coming year At the end of the year, the costs analyst reported that the sales activity variance for the year was $396.000 unfavorable. Required Prepare a flexible budget for Paynesville for the year (Enter your answers in thousands of dollars.) Required Prepare a flexible budget for Paynesville for the year. (Enter your answers in thousands of dollar PAYNESVILLE CORPORATION Flexible Budget (thousands of dollars) Variable costs Total variable costs Fixed costs Total fixed costs