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)		350
Revenue ($430.00q)	$	150,500
Expenses:
Wages and salaries ($11,800 + $122.00q)		54,500
Supplies ($5.00q)		1,750
Equipment rental ($2,300 + $23.00q)		10,350
Insurance ($3,900)		3,900
Miscellaneous ($540 + $1.48q)		1,058
Total expense		71,558
Net operating income	$	78,942

During May, the companys actual activity was 340 diving-hours.