Waterway Inc. (AP) is a manufacturer of toaster ovens. To improve control over operations, the president of AP wants to begin using a flexible budgeting system, rather than use only the current master budget. The following data are available for AP's expected costs at production levels of 81,000, 92,000, and 103,000 units. Variable costs Manufacturing $6 per unit Administrative $3 per unit Selling $2 per unit Fixed costs Manufacturing $130,000 Administrative $82,000 Prepare a flexible budget for each of the possible production levels: 81,000, 92,000, and 103,000 units. (List variable costs before fixed costs.) WATERWAY INC. Flexible Production Cost Budget Activity Level Production Levels 13770 Total Variable Costs Manufacturing 1564000 1751 486000 i 552000 i 618000 i Administrative 243000 i 276000 i 309000 i Selling 162000 i 184000 i 206000 i Total Variable Costs 891000 i 1012000 1133000 i Fixed Costs Manufacturing Administrative 130000 i 130000 130000 i 82000 i 82000 i 82000 i Total Fixed Costs 212000 i 212000 Total Costs 274000 340000 212000 i 406000