Fournier Fixtures produces a variety of manufactured items for the home and building industry. The company produces only when it receives orders and, therefore, has no inventories. The following information is available for the current month:

Required

Prepare a flexible budget for Fournier Fixtures.

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Sales revenue.. Less Variable costs Materials ... Direct labor.. Variable overhead Variable marketing and administrative... Total variable costs Contribution margin.. Less Fixed costs Manufacturing overhead Marketing... Administrative.. Total fixed costs Operating profits. Actual (based on actual orders for 392,000 units) $7,448,000 2,600,000 230,000 1,180,000 860,000 $4,870,000 $2,578,000 1,560,000 475,000 300,000 $2,335,000 $ 243,000 Master Budget (based on budgeted orders for 350,000 units) $7,000,000 2,310,000 210,000 1,050,000 770,000 $4,340,000 $2,660,000 1,580,000 460,000 325,000 $2,365,000 $ 295,000