Prepare the company's budgeted income statement.
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:
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Butgeted unit sales
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460
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Selling price per unit
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$1,950
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Cost per unit
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$1,575
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Variable selling and administrative expense (per unit)
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$75
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Fixed selling and administrative expense (per year)
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$105,000
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Interest expense for the year
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$14,000
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Required:
Prepare the company budgeted income statement. Use the absorption costing income statement format shown in schedule?