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Phoenix Company reports the following fixed budget. It is based on an expected production and sales volume of units.
PHOENIX COMPANY
Fixed Budget
For Year Ended December
Sales $
Costs
Direct materials
Direct labor
Sales staff commissions
DepreciationMachinery
Supervisory salaries
Shipping
Sales staff salaries fixed annual amount
Administrative salaries
DepreciationOffice equipment
Income $
Problem A Algo Preparing and analyzing a flexible budget LO P
Required:
& Prepare flexible budgets at sales volumes of and units.
The companys business conditions are improving. One possible result is a sales volume of units. Prepare a simple budgeted income statement if units are sold.
