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Gator Divers is a company that provides diving services such as underwater ship repairs to clients in the Tampa Bay area. The company s planning budget for March appears below: |
| Gator Divers Planning Budget For the Month Ended March 31 |
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| Budgeted diving-hours (q) | 200 | |
| Revenue ($380.00q) | $ | 76,000 |
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| Expenses: | ||
| Wages and salaries ($12,000 + $130.00q) | 38,000 | |
| Supplies ($5.00q) | 1,000 | |
| Equipment rental ($2,500 + $26.00q) | 7,700 | |
| Insurance ($4,200) | 4,200 | |
| Miscellaneous ($540 + $1.50q) | 840 | |
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| Total expense | 51,740 | |
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| Net operating income | $ | 24,260 |
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| Required: |
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During March, the company s activity was actually 190 diving-hours. Complete the flexible budget for that level of activity.
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