Question - Gig Harbor Boating 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 - 740
Selling price per unit - $ 2,090
Cost per unit - $ 1,490
Variable selling and administrative expense (per unit) - $ 80
Fixed selling and administrative expense (per year) - $ 345,000
Interest expense for the year - $ 25,000
Required: Prepare the company's budgeted income statement for the year.