Puget Sound Divers is a company 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: Puget Sound Divers Planning Budget For the Month Ended May 31 400 $ 156,000 Budgeted diving-hours (g) Revenue ($390.00g) Expenses: Wages and salaries ($11,200 + $122.00g) Supplies ($4.00g) Equipment rental ($2,100 + $26.00g) Insurance ($3,900) Miscellaneous ($540 + $1.44g) Total expense Net operating income 60,000 1,600 12,500 3,900 1,116 79,116 $ 76,884 During May, the company's actual activity was 390 diving-hours.