Puget Sound Divers is a company that provides diving services such as underwater ship repairs to clients in the Puget Sound area. The companys planning budget for May appears below:

Puget Sound Divers

Planning Budget

For the Month Ended May 31

Budgeted diving-hours (q)300

Revenue ($400.00q)$ 120,000

Expenses:

Wages and salaries ($11,900 + $122.00q)48,500

Supplies ($5.00q)1,500

Equipment rental ($2,200 + $21.00q)8,500

Insurance ($4,000)4,000

Miscellaneous ($520 + $1.50q)970

Total expense63,470

Net operating income$ 56,530

During May, the companys actual activity was 290 diving-hours.

Required:

Prepare a flexible budget for May. (Round your answers to the nearest whole number.)

Puget Sound Divers is a compary that provides diving services such as underwater ship repairs to clients in the Puget Sound area. The company's planning budget for May appears below. During May, the company's actual activity was 290 diving-hours. Required: Prepare a flexble budget for May. (Round your answers to the nearest whole number.)