Exercise 8-1A (Algo) Preparing master and flexible budgets LO 8-1 Stuart Manufacturing Company established the following standard price and cost data. Sales price $ 8.80 per unit

Variable manufacturing cost $ 3.10 per unit

Fixed manufacturing cost $ 2,700 total

Fixed selling and administrative cost $ 600 total

Stuart planned to produce and sell 2,100 units. Actual production and sales amounted to 2,400 units.

a. Prepare the pro forma income statement in contribution format that would appear in a master budget.

b. Prepare the pro forma income statement in contribution format that would appear in a flexible budget.