Using the following per-unit and total amounts, prepare a flexible budget at the 14,000-,15,000-, and 16,000-unit levels of production and sales for Central Manufacturing Company. To do so, be sure to apply budgeting process general principles, compute all of the components of a flexible budget, and determine the correct factory overhead.

Item Amounts Selling price per unit 85.00

Direct materials per unit 25.50

Direct labor per unit 7.75

Variable factory overhead per unit 16.00

Fixed factory overhead 87,000.00

Variable selling and administrative expense per unit 13.00

Fixed selling and administrative expense 95,000.00

14,000 units 15,000 units 16,000 units

Sales

Less variable costs:

Direct materials

Direct labor

Variable factory overhead

Variable selling and administrative expense 182,000 195,000 208,000

Contribution Margin 871,500 933,750 996,000

Less fixed costs:

Fixed factory

Overhead Fixed selling and administrative

Expense Operating income