Answer Happy

Osage, Inc., manufactures and sells lamps. The company produces only when it receives orders and, therefore, has no inventories. The following information is available for the current month: Actual (based on actual orders for 450,000 units) Master Budget (based on budgeted orders for 480,000 units) Sales revenue $4,493,000 $4,320,000 Less Variable costs Materials 1,680,000 1,680,000 Direct labor 225,000 288,000 Variable overhead 579,800 528,000 Variable marketing and administrative 397,500 408,000 Total variable costs $2,882,300 $2,904,000 Contribution margin $1,610, 700 $1,416,000 Less Fixed costs Manufacturing overhead 888,800 860,000 Marketing 278,000 Administrative 278,000 172,000 192,000 Total fixed costs $1,358,800 $1,310,000 $ 251,900 $ 106, 000 Operating profits
Required: Prepare a flexible budget for Osage, Inc. (Do not round intermediate calculations.) OSAGE, INC. Flexible Budget Sales revenue Variable costs: Materials Direct labor Variable overhead Variable marketing and administrative Total variable costs Contribution margin Fixed costs: Manufacturing overhead Marketing Administrative Total fixed costs Operating profit (loss)