Tempo Company's fixed budget (based on sales of 14,000 units) for the first quarter of calendar year 2017 reveals the following. Fixed Budget $3,080,000 $350,000 616,000 392,000 150,000 1,508,000 1,572,000 Sales (14,000 units) Cost of goods sold Direct materials Direct labor Production supplies Plant manager salary Gross profit Selling expenses Sales commissions Packaging Advertising Administrative expenses Administrative salaries Depreciation-office equip. Insurance Office rent Income from operations 98,000 224,000 100,000 422,000 200,000 170,000 140,000 150,000 660,000 490,000 $ Complete the following flexible budgets for sales volumes of 12,000, 14,000, and 16,000 units. (Round cost per unit to 2 decimal places.) TEMPO COMPANY Flexible Budgets For Quarter Ended March 31, 2017 ------Flexible Budget------ -----Flexible Budget at ------ Variable Total Fixed Cost Amount per Unit $ 220.00 12,000 units 14,000 units 16,000 units 2,640,000 $3,080,000 $ 13,520,000 Sales Variable costs: Direct materials erials Direct labor Production supplies Sales commissions Packaging 25.00 44.00 28.00 7.00 16.00 300,000 528,000 336,000 84,000 192,000 350,000 616,000 392,000 98,000 224,000 400,000 704,000 448,000 112,000 256,000 120.00 100.00 1,440,000 1,200,000 1,680,000 1,400,000 1,920,000 1,600,000 $ Total variable costs sts Contribution margin Fixed costs: Plant manager salary Advertising Administrative salaries Depreciation - Office equip. Insurance Office rent 150,000 100,000 200,000 170,000 140,000 150,000 150,000 100,000 200,000 170,000 140,000 150,000 150,000 100,000 200,000 170,000 140,000 150,000 150,000 100,000 200,000 170,000 140,000 150,000 910,000 Total fixed costs Income from operations 910,000 $ 290,000 910,000 $ 490,000 910,000 $ 690,000