E$10\mathrm{.}7($LO $2),$ AP Appliance Possible Inc. $($AP$)$ is a manufacturer of toaster ovens. To improve control over operations, the president of AP wants

to begin using a flexible budgeting system, rather than use only the current master budget. The following data are available for AP's expected

costs at production levels of $90,000,100,000,$ and $110,000$ units.

Prepare flexible budget report.

Instructions

a$.$ Prepare a flexible budget for each of the possible production levels: $90,000,100,000,$ and $110,000$ units.

b$.$ If AP sells the toaster ovens for $$16$ each, how many units will it have to sell to make a profit of $$60,000$ before taxes?