Required information Problem 23-1A Preparing and analyzing a flexible budget LO P1, A1 (The following information applies to the questions displayed below.) Phoenix Company's 2019 master budget included the following fixed budget report. It is based on an expected production and sales volume of 15,000 units. $3,300,000 PHOENIX COMPANY Fixed Budget Report For Year Ended December 31, 2019 Sales Cost of goods sold Direct materials $945,000 Direct labor 225,000 Machinery repairs (variable cost) 45,000 Depreciation-Plant equipment (straight-line) 315,000 Utilities ($60,000 is variable) 195,000 Plant management salaries 220,000 Gross profit Selling expenses Packaging 75,000 Shipping 105,000 Sales salary (fixed annual amount) 235,000 General and administrative expenses Advertising expense 150,000 Salaries 230,000 Entertainment expense 80,000 Income from operations 1,945,000 1,355,000 415,000 460,000 $ 480,000 4 YARA M Required information Cost per Unit 220.00 1 of 3 of 14,000 16,000 $ 3,080,000 $3,520,000 Sales Variable costs Direct materials Direct labor Machinery repairs Uslities Packaging Shipping 63.00 15.00 3.00 4.00 5.00 882,000 210,000 42,000 56,000 70,000 98,000 1,008,000 240,000 48,000 64,000 80,000 112,000 Book 7.00 rences 97.00 123.00 1,358,000 1,722,000 1,552,000 1.968,000 Total variable costs Contribution margin Fixed costs Depreciation-Plant equipment (straight-line) Utilities Plant management salaries Sales salary Advertising expense Salaries Entertainment expenso 315,000 135,000 220,000 235,000 150,000 230,000 80,000 315.000 135,000 220,000 235,000 150,000 230,000 80,000 315,000 135,000 220,000 235,000 150,000 230,000 80,000 Total foxed costs Income from operations $ 1,365,000 $ 1,365,000 $1,365,000 $ 357,000 $ 603,000