PMR (based on Colin Drury, Management Accounting for Business) A division of PMR plc operates a small private aircraft that carries passengers and small parcels for other divisions. In the year ended March 2020, it carried 1 024 passengers and 24 250 kg of small parcels. It incurred costs of 924 400. The division assumes that 70% of its cost are variable and that 60 % of these vary with the number of passengers and the remainder with the weight of parcels. The company is now preparing its budget for the 3 months ending 30 June 2020. In this period, it expects: All prices to be 3% higher than the average paid last year. Activity levels to be: 209 passengers 7 200 kg of small parcels Yearly fixed costs are spread evenly throughout the year. PMR anticipates that the fixed expenses for the 3 months will increase by 10 000 in comparison with quarterly fixed costs of the year ended March 2020. You are asked to prepare the cost section of the budget for the 3 months ending 30 June 2020. The cost section has 3 parts. One question for each part. You have to justify your results (how is it you obtained each result). 1. 2020 2. 3. What are the budgeted passenger-related costs for the 3 months ending 30 June What are the budgeted parcel-related costs for the 3 months ending 30 June 2020 What are the budgeted fixed costs for the 3 months ending 30 June 2020