The correct answer is $\boxed{\text{B. }154,000}$.
The static budget is the budget that is prepared at the beginning of the period based on the expected level of activity. The flexible budget is the budget that is adjusted for the actual level of activity. The sales budget variance is the difference between the actual sales and the budgeted sales.
In this case, the sales budget variance is $57,000 unfavorable. This means that the actual sales were $57,000 less than the budgeted sales. The flexible budget amount is $97,000. This is the amount of sales that would have been budgeted if the actual level of activity had been used to prepare the budget.
To calculate the static budget amount, we add the sales budget variance to the flexible budget amount. This gives us $97,000 + $57,000 = $154,000.
Here is a brief explanation of each option:
- Option A: $40,000. This is the difference between the actual sales and the flexible budget amount. It is the sales budget variance.
- Option B: $154,000. This is the static budget amount. It is calculated by adding the sales budget variance to the flexible budget amount.
- Option C: $164,000. This is the difference between the static budget amount and the actual sales. It is the sales volume variance.
- Option D: $124,000. This is the difference between the flexible budget amount and the actual sales. It is the sales price variance.