Given the following information, prepare an annual income statement budget for the Great Student Corporation as of 12/31/2018. 1. Sales: 1000 Units; Price $1,000 per Unit 2. Cost of Goods Sold (COGS): 60% of Sales 3. Wages: 15 Employees; Average Cost per Employee $15000 4. SGA Expenses: 12% of Sales 5. Depreciation: Straight Line $4000 per year 6. Interest Expense: 1% of Sales What was the company's budgeted gross profit? O A. $403,000 O B. $400,000 OC.$41,000 O D. $359,000

Given the following information, prepare an annual income statement budget for the Great Student Corporation as of 12/31/2018. 1. Sales: 1000 Units; Price $1,000 per Unit 2. Cost of Goods Sold (COGS): 60% of Sales 3. Wages: 15 Employees; Average Cost per Employee $15000 4. SGA Expenses: 12% of Sales 5. Depreciation: Straight Line $4000 per year 6. Interest Expense: 1% of Sales What was the company's budgeted gross profit? O A. $403,000 O B. $400,000 OC.$41,000 O D. $359,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Subject: accounting
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