Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,100 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) 7,100 $29,820 Expenses Packing supplies ($0.30q) Oyster bed maintenance ($3,200) Wages and salaries ($2,500+$0.45q) Shipping ($0.55q) Utilities ($1,300) Other ($480+$0.01q) 2,130 3,200 5,695 3,905 1,300 551 Total expense 16,781 Net operating income 13,039 The actual results for August appear below: Quilcene Oysteria Income Statement For the Month Ended August 31 Actual pounds Revenue 7,100 $26,800 Expenses Packing supplies Oyster bed maintenance Wages and salaries Shipping Utilities Other 2,300 3,060 6,105 3,635 1,110 1,171 Total expense 17,381 Net operating income $ 9,419