Prepare flexible budget report. E10.7 (LO 2), AP Appliance Possible Inc. (AP) is a manufacturer of toaster ovens. To improve control over operations, the president of AP wants to begin using a flexible budgeting system, rather than use only the current master budget. The following data are available for AP's expected costs at production levels of 90,000, 100,000, and 1 10,000 units.Variable costs Manufacturing $6 per unit Administrative $4 per unit Selling $3 per unit Fixed costs Manufacturing $160,000 Administrative $ 80,000 Instructions a. Prepare a flexible budget for each of the possible production levels: 90,000, 100,000, and 1 10,000 units. b. If AP sells the toaster ovens for $16 each, how many units will it have to sell to make a profit of $60,000 before taxes? (CGA adapted)