TOT le yedi $ 1,600,000 $ 150,000 450,000 240,000 840,000 $ 760,000 Sales (50,000 units) Cost of goods sold: Direct materials Direct labor Overhead (Variable overhead applied at 40% of direct labor cost) Gross profit Selling expenses: Sales commissions (all variable) Rent (all fixed) Insurance (all fixed) General expenses: Salaries (all fixed) Rent (all fixed) Depreciation (all fixed) Operating income $ 160,000 40,000 30,000 92,000 77,000 51,000 450,000 $ 310,000 During the period, the company manufactured and sold 42,000 units. Required: 1. Prepare a flexible budget (FB) for the actual output level achieved during the period; state each item at nearest whole dollar. 2. What is the definition of a FB? For what managerial purpose is a FB useful? Be specific about the types of information (and variances) that management can generate at the end of an accountina period. aiven a flexible budaet and its master (static) budaet