Puget sound divers is a company that provides diving services such as underwater ship repairs to clients in the puget sound area the company's planning budget for may appears below: puget sound divers planning budget for the month ended may 31 budgeted diving-hours (g) 300 revenue ($480.00g) expenses: $144,000 salaries(s11,700 $126.00g) wages and supplies ($5.00g) equipment rental ($2,000 $22.00g) insurance ($3,900) miscellaneous ($520 + $1.48g) 49,500 1,500 8,600 3,900 964 64,464 $79,536 total expense net operating income during may, the company's actual activity was 290 diving-hours. required: prepare a flexible budget for may. (round your answers to the nearest whole number.)

See below.

Explanation:

Lets summarize the information first,

Revenue = 480/hour

Salaries = 11700 + 126/ hour

Supplies = 5/hour

Equipment Rental = 2000 + 22/ hour

Insurance = 3900

Miscellaneous = 520 + 1.48/hour

Now we flex these standard costs to to activity level of 290 diving hours,

Revenue  (480 * 290)                                          139,200

Less:

Salaries and wages (11,700 + 126*290)              48,240

Supplies (5 * 290)                                                1,450

Equipment rental (2000 + 22*290)                     8,380

Insurance                                                              3,900

Miscellaneous (520+ 1.48*290)                           949.2

Budgeted profits                                                  $76,280.8

Hope that helps.

answer; i believe the correct answer is (4.0);

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