! Required information Problem 21-1A Preparing and analyzing a flexible budget LO P1, A1 [The following information applies to the questions displayed below.] Phoenix Company's 2019 master budget included the following fixed budget report. It is based on an expected production and sales volume of 15,000 units. Sales Cost of goods sold Direct materials Direct labor PHOENIX COMPANY Fixed Budget Report For Year Ended December 31, 2019 Machinery repairs (variable cost) Depreciation-Plant equipment (straight-line) Utilities ($45,000 is variable) Plant management salaries Gross profit $3,000,000 $ 945,000 225,000 60,000 315,000 210,000 180,000 1,935,000 1,065,000 Packaging 90,000 Shipping 105,000 Sales salary (fixed annual amount) 235,000 430,000 General and administrative expenses Advertising expense. 125,000 Salaries 230,000 Entertainment expense Income from operations 75,000 430,000 $ 205,000 Selling expenses Problem 21-1A Part 1&2