Acme Company's production budget for August is 17,500 units and

Acme Company's production budget for August is 17,500 units and includes the following component unit costs: direct materials, $8; direct labor, $10; variable overhead, $6. Budgeted fixed overhead is $32,000. Actual production in August was 18,000 units.

Required:
Prepare a flexible budget that would be used to compare against actual production costs for August.

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