Phoenix Company reports the following fixed budget. It is based on an expected production and sales volume of 15,100 units. Sales Costs PHOENIX COMPANY Fixed Budget For Year Ended December 31 Direct materials Direct labor Sales staff commissions Depreciation-Machinery Supervisory salaries Shipping Sales staff salaries (fixed annual amount) Administrative salaries Depreciation-office equipment Income $ 3,171,000 981,500 211,400 75,500 305,000 201,000 211,400 251,000 576,650 199,000 $ 158,550 Required: 1&2. Prepare flexible budgets at sales volumes of 14,100 and 16,100 units. 3. The company's business conditions are improving. One possible result is a sales volume of 18,100 units. Prepare a simple budgeted income statement if 18,100 units are sold. Variable costs Fixed costs PHOENIX COMPANY Flexible Budgets For Year Ended December 31 Flexible Budget Variable Amount per Unit Total Fixed Cost Flexible Budget for: Units Sales Unit Sales of of 14,100 16,100 The company's business conditions are improving. One possible result is a sales volume of 18,100 units. Prepare a simple budgeted income statement if 18,100 units are sold. PHOENIX COMPANY Budgeted Income Statement For Year Ended December 31 Sales (in units) 18,100 < Req 1 and 2 Req 3 >