The following fixed budget is based on budgeted sales of 700 units. Fixed Budget Sales (700 units $800 per unit) $ 560,000 Costs Direct materials 56,000 Direct labor 98,000 Indirect materials 35,000 Supervisor salary 13,000 Sales staff commissions 28,000 Shipping 30,800 Administrative salaries 42,000 DepreciationMachinery 7,000 Taxes and insurance 4,000 Sales staff salaries (fixed) 7,200 Income $ 239,000 1. Calculate total fixed costs. 2. Calculate total variable cost per unit. 3. Using an activity level of 750 units, prepare a flexible budget