Required information [The following information applies to the questions displayed below.] Phoenix Company reports the following fixed budget. It is based on an expected production and sales volume of 15,100 units. Sales Costs PHOENIX COMPANY Fixed Budget For Year Ended December 31 Direct materials Direct labor Sales staff commissions Depreciation-Machinery Supervisory salaries Shipping Sales staff salaries (fixed annual amount) Administrative salaries Depreciation-Office equipment Income $ 3,020,000 981,500 226,500 75,500 305,000 199,000 226,500 249,000 413,000 193,000 $ 151,000 Required: &2. Prepare flexible budgets at sales volumes of 14,100 and 16,100 units. . The company's business conditions are improving. One possible result is a sales volume of 18,100 units. Prepare a simple budgeted ncome statement if 18,100 units are sold. Sales Variable costs Direct materials Direct labor Sales staff commissions Shipping Total variable costs Contribution margin Fixed costs Depreciation-Machinery Supervisory salaries Sales staff salaries Administrative salaries Depreciation-Office equipment Total fixed costs Income PHOENIX COMPANY Flexible Budgets For Year Ended December 31 Flexible Budget per Unit Variable Amount Total Fixed Cost $ 200.00 65.00 15.00 5.00 15.00 Flexible Budget for: Units Sales Unit Sales of of 14,100 16,100 100.00 0 0 305,000 $ 0 $ 0 $ 0 The company's business conditions are improving. One possible result is a sales volume of 18,100 units. Prepare a simple budgeted income statement if 18,100 units are sold. PHOENIX COMPANY Budgeted Income Statement For Year Ended December 31 Sales (in units) 18,100 0