1. With a planned volume of 15,000 units, the master budget includes variable costs of $450,000 and fixed costs of $350,000. If the actual volume is 12,000 units, what is the amount of the total costs in the flexible budget?

2.For next year, 21,000 units of finished goods have to be produced, each consuming 3 units of materials at $6. The expected beginning and ending materials inventories are 8,000 units and 12,000 units, respectively. How much is expected to be spent for materials purchases next year?