Use the following information for the Problems below. (Algo) Skip to question [The following information applies to the questions displayed below.] Phoenix Company reports the following fixed budget. It is based on an expected production and sales volume of 15,000 units. PHOENIX COMPANY Fixed Budget For Year Ended December 31 Sales $ 3,000,000 Costs Direct materials 975,000 Direct labor 225,000 Sales staff commissions 45,000 Depreciation—Machinery 300,000 Supervisory salaries 203,000 Shipping 225,000 Sales staff salaries (fixed annual amount) 248,000 Administrative salaries 432,000 Depreciation—Office equipment 197,000 Income $ 150,000 Problem 8-1A (Algo) Preparing and analyzing a flexible budget LO P1 Required: 1&2. Prepare flexible budgets at sales volumes of 14,000 and 16,000 units. 3. The company’s business conditions are improving. One possible result is a sales volume of 18,000 units. Prepare a simple budgeted income statement if 18,000 units are sold.