During April, Cheatam Corporation budgeted for 27,000 customers, but actually served 23,000 customers. The company uses the following revenue and cost formulas in its budgeting, where q is the number of customers served:
Revenue: $4.10q
Wages and salaries: $33,300 + $1.10q
Supplies: $0.70q
Insurance: $8,600
Miscellaneous expense: $3,700 + $0.40q
Required:
Prepare the company's flexible budget for April based on the actual level of activity for the month.

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The Answer of During April, Cheatam Corporation budgeted for 27,000 customers, but actually served 23,000 customers. The company uses the following revenue and cost formulas in its budgeting, where q is the number of customers served:
Revenue: $4.10q
Wages and salaries: $33,300 + $1.10q
Supplies: $0.70q
Insurance: $8,600
Miscellaneous expense: $3,700 + $0.40q
Required:
Prepare the company's flexible budget for April based on the actual level of activity for the month.

During April, Cheatam Corporation Budgeted for 27,000 Customers, but Actually