Question - Sweet Baby Diaper Company sells disposable diapers for .20 cents each. Variable cost are .05 cents per diaper, while fixed costs are $75,000 per month for volumes up to 950,000 diapers and $112,500 per month for volumes above 950,000 diapers.
Prepare a flexible budget for volumes of 800,000 diapers, 900,000 diapers and 1,000,000 diapers.