Static budget versus flexible budget The production supervisor of the Machining Department for Hagerstown Company agreed to the following monthly static budget upcoming year: Hagerstown Company Machining Department Monthly Production Budget Wages $598,000 40,000 67,000 $705,000 Utilities Depreciation Total [$598","000],[40","000],[67","000],[$705","000] The actual amount spent and the actual units produced in the first three months in the Machining Department were as foll Amount Spent Units Produced May $666,000 122,000 June 636,000 111,000 July 607,000 100,000 The Machining Department supervisor has been very pleased with this performance because actual expenditures for Ma significantly less than the monthly static budget of 705,000 . However, the plant man