Phoenix Company's 2019 master budget included the following fixed budget report. It is based on an expected production and sales volume of 15,000 units. Sales PHOENIX COMPANY Fixed Budget Report For Year Ended December 31, 2019 Cost of goods sold Direct materials Direct labor $3,150,000 $945,000 210,000 Machinery repairs (variable cost) Depreciation-Plant equipment (straight-line) 60,000 300,000 Utilities ($30,000 is variable) 195,000 Plant management salaries 190,000 1,900,000 Gross profit 1,250,000 Selling expenses Packaging 75,000 Shipping 90,000 Sales salary (fixed annual amount) 235,000 400,000 General and administrative expenses Advertising expense 150,000 Salaries 241,000 Entertainment expense Income from operations 85,000 476,000 374,000