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 ($430.00q)	$ 129,000
Expenses:
Wages and salaries ($11,500 + $128.00q)	49,900
Supplies ($4.00q)	1,200
Equipment rental ($2,000 + $21.00q)	8,300
Insurance ($3,900)	3,900
Miscellaneous ($520 + $1.46q)	958
Total expense	64,258
Net operating income	$ 64,742

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