Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,400 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 ($4.10q) 7,400 $30,340 Expenses Packing supplies (50.30q) Oyster bed maintenance ($3,200) Wages and salaries ($2,400 $0.30q) Shipping (S0.65q) Utilities ($1,210) Other ($420 +S0.01q) 2,220 3,200 4,620 4,810 1,210 494 Total expense 16,554 Net operating income $13,786 The actual results for August appear below: Quilcene Oysteria Income Statement For the Month Ended August 31 Actual pounds Revenue 7,400 27,100 Expenses Packing supplies Oyster bed maintenance Wages and salaries Shipping Utilities Other 2,390 3,060 5,030 4,540 1,020 1,114 Total expense 17,154 Net operating income $9,946