Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,500 pounds of oysters in August. The company's flexible budget for August appears below: Quilcene Oysteria Flexible Budget For the Month Ended August 31 Actual pounds (q) Revenue ($4.20q) 7,500 $31,500 Expenses Packing supplies (50.40q) Oyster bed maintenance ($3,200) Wages and salaries (2,300 $0.30q) Shipping ($0.65q) Utilities ($1,210) Other ($460+ S0.01q) 3,000 3,200 4,550 4,875 1,210 535 Total expense 17,370 Net operating income $14,130 The actual results for August appear below: Quilcene Oysteria Income Statement For the Month Ended August 31 Actual pounds Revenue 7,500 $27,000 Expenses Packing supplies Oyster bed maintenance Wages and salaries Shipping Utilities Other 3,170 3,060 4,960 4,605 1,020 1,155 Total expense 17,970 Net operating income $9,030