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Tempo Company's fixed budget (based on sales of 14,000 units) folllows. 3,038,000 Fixed Budget Sales (14,000 units * $217 per unit) Costs Direct materials Direct

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Tempo Company's fixed budget (based on sales of 14,000 units) folllows. 3,038,000 Fixed Budget Sales (14,000 units * $217 per unit) Costs Direct materials Direct labor Indirect materials Supervisor salary Sales commissions Shipping Administrative salaries Depreciation office equipment Insurance Office rent Income 350,000 588,000 378,000 150,000 112,000 196,000 200,000 170,000 140,000 150,000 604,000 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

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