Phoenix Companys 2015 master budget included the following fixed budget report. It is based on an expected production and sales volume of 15,000 units.

PHOENIX COMPANY Fixed Budget Report For Year Ended December 31, 2015 Sales $3,150,000 Cost of goods sold Direct materials Direct labor Machinery repairs (variable cost) Depreciation-plant equipment (straight-line) Utilities ($60,000 is variable) Plant management salaries $ 930,000 210,000 45,000 330,000 180,000 180,000 1,875,000 Gross profit Selling expenses 1,275,000 Packaging Shipping Sales salary (fixed annual amount) 75,000 90,000 235,000 400,000 General and administrative expenses Advertising expense Salaries Entertainment expense 125,000 230,000 85,000 440,000 Income from operations $ 435,000