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 31Budgeted diving-hours (q)100Revenue ($365.00q)$ 36,500Expenses: Wages and salaries ($8,000 + $125.00q)20,500Supplies ($3.00q)300Equipment rental ($1,800 + $32.00q)5,000Insurance ($3,400)3,400Miscellaneous ($630 + $1.80q)810Total expense30,010Net operating income$ 6,490

During May, the companys actual activity was 105 diving-hours.

Required:

Prepare a flexible budget for May.