Use the following information for the next four questions.

McJollibee Company has prepared the following annual flexible budget which is to be used in making decisions relating to its product "McBucket".

ActiVit'f l[lost Driver Rate Quantity tor Main Product Inspection of materials deliveries Classes of materials PSUD per class 2i} classes Inspections ofgoods in process Number of units 10 per unit 12,011] units Final inspection before dEIiUEW of finished goods Number of orders EDD per order 10E] orders Number of hours required to make a part 2.5 DLH Number of direct workers 1'5 Number of total productive hours per week 3,0[10 Weekly wages per worker PLUDU Laborers' fringe benets treated as direct labor costs 2596 of wages Budgeted units 100,000 150,000 200,000 Sales volume P800,000 1,200,000 1,600,000 Manufacturing costs: Variable P300,000 450,000 600,000 Fixed 200,000 200,000 200,000 500,000 650,000 800,000 Selling expenses: Variable P200,000 300,000 400,000 Fixed 160,000 160,000 160,000 360,000 460,000 560,000 Income (60,000) 90,000 240,000