The following data are available in a manufacturing company for a yearly period:

Fixed expenses Tk.

Wages and salaries 950,000

Rent, rates and taxes 660,000

Depreciation 740,000

Sundry administrative expenses 650,000

Semi-variable expenses (at 50% of capacity)

Maintenance and repairs 350,000

Indirect labor 790,000

Sales department salaries etc. 380,000

Sundry administrative expenses 280,000

Variable expenses (at 50% of capacity)

Materials 2,170,000

Labor 2,040,000

Other expenses 790,000

9,800,000

Assume that the fixed expenses remain constant for all levels of production, semi-variable expenses increases by 10% between 65% and 80% capacity and by 20% between 80% and 100% capacity.

Sales at various levels are: Tk.

50% capacity 10,000,000

75% capacity 15,000,000

100% capacity 20,000,000

Required:Prepare a flexible budget for the year and forecast the profit at75% of capacity.