Prepare the budegeted multiple-step income statement for the year. (Note: income taxes are not allocated to the products).LILY INC.Budgeted Income StatementeTextbook and Media$JB 50$JB 60Total Lily Inc. is preparing its annual budgets for the year ending December 31, 2022. Accounting assistants furnish the data shown below.Sales budget:Anticipated volume in unitsUnit selling priceProduction budget:Desired ending finished goods unitsBeginning finished goods unitsDirect materials budget:Direct materials per unit (pounds)Desired ending direct materials poundsBeginning direct materials poundsCost per poundDirect labor budget:Direct labor time per unitDirect labor rate per hourBudgeted income statement:Total unit costProductJB 50336,000$2525,20021,000225,20033,600$30.4$12$13ProductJB 60168,000$3012,6008,40038,40012,600$40.6$12$20An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget.The latter shows selling expenses of $470,400 for product JB 50 and $302,400 for product JB 60, and administrative expenses of$453,600 for product JB 50 and $285,600 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxesare expected to be 20%.

Statement of Budgeted Income helps with cash flow forecasting by calculating when revenue and…

Lily Inc. is preparing its annual budgets for the year ending December 31, 2022. Accounting assistants furnish the data shown below. Product JB 50 Product JB 60 Sales budget: Anticipated volume in units Unit selling price i Production budget: Desired ending finished goods units Beginning finished goods units Direct materials budget: Direct materials per unit (pounds) Desired ending direct materials pounds Beginning direct materials pounds i Cost per pound Direct labor budget: Direct labor time per unit Direct labor rate per hour Budgeted income statement: Total unit cost 336,000 $25 25,200 21,000 2 25,200 33,600 $3 0.4 $12 $13 168,000 $30 12,600 8,400 3 8,400 12,600 $4 0.6 $12 $20 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $470,400 for product JB 50 and $302,400 for product JB 60, and administrative expenses of $453,600 for product JB 50 and $285,600 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 20%.

Lily Inc. is preparing its annual budgets for the year ending December 31, 2022. Accounting assistants furnish the data shown below. Product JB 50 Product JB 60 Sales budget: Anticipated volume in units Unit selling price i Production budget: Desired ending finished goods units Beginning finished goods units Direct materials budget: Direct materials per unit (pounds) Desired ending direct materials pounds Beginning direct materials pounds i Cost per pound Direct labor budget: Direct labor time per unit Direct labor rate per hour Budgeted income statement: Total unit cost 336,000 $25 25,200 21,000 2 25,200 33,600 $3 0.4 $12 $13 168,000 $30 12,600 8,400 3 8,400 12,600 $4 0.6 $12 $20 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $470,400 for product JB 50 and $302,400 for product JB 60, and administrative expenses of $453,600 for product JB 50 and $285,600 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 20%.

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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