Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,300 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) 7,300 Revenue ($4.15q) $ 30,295 Expenses: Packing supplies ($0.309) 2,190 Oyster bed maintenance ($3,500) 3,500 Wages and salaries ($2,200 + $0.45q) 5,485 Shipping ($0.75q) 5,475 Utilities ($1,240) 1,240 Other ($440 + $0.019) 513 Total expense 18,403 $ 11,892 Net operating income The actual results for August appear below: Quilcene Oysteria Income Statement For the Month Ended August 31 Actual pounds Revenue Expenses: Packing supplies Oyster bed maintenance Wages and salaries Shipping Utilities Other Total expense 7,300 $ 27,100 2,360 3,360 5,895 5,205 1,050 1,133 19,003