Exercise 10-1 Prepare a Flexible Budget [LO10-1] Puget Sound Divers is a company that provides diving services such as underwater ship repairs to clients in the Puget Sound area. The company's planning budget for May appears below: 300 $120,000 Puget Sound Divers Planning Budget For the Month Ended May 31 Budgeted diving-hours (9) Revenue ($420.00) Expenses: Wages and salaries ($12,000+ $126.009) Supplies ($5.009) Equipment rental ($2,200 + $24.000) Insurance ($4,000) Miscellaneous ($510 + $1.449) Total expense Net operating income 49,800 1,500 9,400 4,000 942 65.642 $ 60,358 Required: During May, the company's activity was actually 290 diving-hours. Complete the following flexible budget for that level of activity. (Round your final answer to nearest dollar amount.) Puget Sound Divers Flexible Budget For the Month Ended May 31 Revenue Expenses: Wages and salaries Supplies Equipment rental Insurance Miscellaneous Total expense Net operating income