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Bonita Inc. (AP) is a manufacturer of toaster ovens. To improve control over operations, the...

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Accounting

Bonita 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 86,000,97,000, and 108,000 units.
Variable costs
Manufacturing $7 per unit
Administrative $4 per unit
Selling $2 per unit
Fixed costs
Manufacturing $130,000
Administrative $79,000
(a)
Prepare a flexible budget for each of the possible production levels: 86,000,97,000, and 108,000 units. (List variable costs before
fixed costs.)
BONITA INC.
Flexible Production Cost Budget
$
$
$
$
$
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