Tempo Company's fixed budget (based on sales of 14,000 units) for the first quarter of calendar year 2015 reveals the following Fixed Budget $2,870,000 Sales (14,000 units) Cost of goods sold Direct materials 350,000 Direct labor 602.000 392,000 Production supplies 150,000 1,494,000 Plant manager salary 1,376,000 Gross profit Selling expenses Sales commissions 112,000 196,000 Packaging Advertising 100,000 408.000 Administrative expenses 200,000 Administrative salaries Depreciation--office equip 170,000 140,000 Insurance 150,000 660.000 Office rent 308,000 Income from operations