Waterway manufactures aluminum canoes. In planning for the coming year, CFO Alexis King is considering three different sales targets: 2,900 canoes, 3,340 canoes, and 3,550 canoes. Canoes sell for $990 each. The standard variable cost information for a canoe is as follows. Annual fixed overhead cost is expected to be: Annual fixed overhead cost is expected to be: Prepare a flexible budget for the three sales levels under consideration. Sales revenue Less Variable expenses Direct material Direct labor Utilities Indirect material Indirect labor Total variable expenses Contribution margin \begin{tabular}{ll|l} Less & Fixed expenses \\ \hline \end{tabular} $ $ $ Maintenance Total variable expenses Contribution margin \begin{tabular}{ll|ll} Less & Fixed expenses & \end{tabular} Maintenance Depreciation Insurance Rent Total fixed expenses Operating income $ $ Unit $ $ $ $ 2,900 $ $ 3,340 3,550 $