Seattle Cat is the wholesale distributor of a small recreational catamaran sailboat. Management has prepared the following summary data to use in its annual budgeting process: Budgeted unit sales 380 Selling price per unit $ 1,850 Cost per unit $ 1,425 Variable selling and administrative expenses (per unit) $ 85 Fixed selling and administrative expenses (per year) $ 105,000 Interest expense for the year $ 11,000 Required: Prepare the company?s budgeted income statement using an absorption income statement format shown below. Seattle Cat Budgeted Income Statement Sales: $2,000,000 Cost of goods sold: $1,300,000 Gross margin: $700,000 Selling and administrative expenses: $576,000 Net operating income: $124,000 Interest expense: $21,900 Net income: $102,100
Is this your assignment or some part of it?
We can do it for you! Click to Order!
