Tempo Company's fixed budget (based on sales of 14,000 units) folllows.

Fixed Budget
Sales (14,000 units $207 per unit)	2,898,000
Costs
Direct materials	336,000
Direct labor	602,000
Indirect materials	364,000
Supervisor salary	136,000
Sales commissions	98,000
Shipping	210,000
Administrative salaries	186,000
DepreciationOffice equipment	156,000
Insurance	126,000
Office rent	136,000
Income	548,000

1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 12,000 units and 16,000 units. Compute total variable cost per unit.

Part 3

Part 2	Total Fixed Cost
Part 1	Total variable cost per unit

Prepare a flexible budget at activity levels of 12,000 units and 16,000 units