Waterway Sports sells volleyball kits that it purchases from a sports equipment distributor. The following static budget based on sales of 2,500 kits was prepared for the year. Fixed operating expenses account for 75% of total operating expenses at this level of sales. Sales Revenue Cost of goods sold (all variable) Gross margin Operating expenses Operating income $ 280,000 $ 180,000 100,000 60,000 40,000 Prepare a flexible budget based on sales of 1,200, 2,920, and 3,760 units. (Round unit values to 2 decimal places e.g. 15.25 and all other answers to 0 decimal places, e.g. 1525. If operating income is negative, enter amounts using a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

Waterway Sports sells volleyball kits that it purchases from a sports equipment distributor. The following static budget based on sales of 2,500 kits was prepared for the vear. Fixed operating expenses account for 75% of total operating expenses at this level of sales. Prepare a flexible budget based on sales of 1.200,2,920, and 3,760 units. (Round unit values to 2 decimal places e.g. 15.25 and ofl other answers to 0 decimal places, e.3. 1525. If operating income is negative, enter amounts using a negative sign preceding the number e.g. -45 or porentheses e.s. (45).)