Tale me to the text The fallawing is Alpha Hatel's incarne statement for the year ended Octaber 31, 2020.Pevenues will increase by 1.5% Marketing costs will decrease by 3% Maragement salaries will increase by4 ? Variable woges will remain carsistent as a percentage of revenue. Ltilities will incresse by 6%Administrative costs and rent will remain the same Do not enter dollar signs pr cammas in the input baves.Prepare the budgeted income statement for the year ending October 31, 2021 using the incrementalbudgeting approach.Take me to the totThe following is Alpha Hotel's income statement for the year ended October 31, 2020Alpha HotelIncome StatementFor the Year Ended October 21, 2020$410,000ExpensesAdministrative Costs $20,000$15,000$288.000$82,000$174,000$25,000MarkingVariable WeresManagement SalarPentUtilitiesNet IncomeApha Hotel is a limited service hotel with 10 rooms and no food and beverage operations Management does not intend to spend a lot of time and money on budgeting. The manager has determined the 2021 budgeted income statement should simply effect the following predicted changes from the 2020 income statementRevenues will increase by 1.5%• Marketing costs will clecrease by 3%• Management salaries will increase by 4%• Variable wages will remain consistent as a percentage of revenueUtilities will inby• Administrative costs and rent will remain the same$604,000+$200,000Prepare the budgeted income statement for the year ending October 31, 2021 using the incremental budgeting approachAlpha HotelBudgeted Income StatementFor the Year Ended October 31, 2021$622150RevenueExpensesAdministrative Costs 20000Variable WeFentManagement Salari 580UitsTotal Expenses1455011740001

A budgeted income statement as per the incremental changes is the financial statement in which all…

Answered: Prepare the budgeted income statement…

Business

Accounting

Prepare the budgeted income statement for the year ending October 31, 2021 using the incremental budgeting approach.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: briefly discuss the budgeting process

A: Budget: Budget is a statement prepared by the management for a specific tenure, to accomplish the…

Q: Describe the steps involved in determining the project's budget.

Q: Explain the term of operating budget.

A: Introduction Budget is monetary plan for future. It deals with where the company wants to reach in…

Q: When preparing a master budget or a projected income statement , which of the following budgets is…

A: The objective of the question is to identify the first budget that is prepared when creating a…

Q: Which of the following steps should be completed when planning a capital budget? Select all that…

A: Capital Budgeting decision is the decision to acquire the capital asset to be used in the business.…

Q: The master budget of Levis Limited for 2020 has largely been completed. All that remains is the…

A: Balance Sheet: Balance sheet is a financial statement which helps to know financial position of…

Q: A budgeted income statement is prepared from which budgets

A: The budget is prepared to estimate the requirements for the future period.

Q: The objectives of budgeting are: a) establishing specific goals for future operations b) executing…

A: Budget means the expected value for future. Budget is prepared for future and actual value is…

Q: Discuss the importance of the program-based budget to each stage of the budget cycle of the…

A: The question is based on the concept of budget and cycle of budget for government planning.

Q: Create own budget for the month of April 2021. This must include Fixed and Variable expenditure…

Q: According to institute of Cost and Management Accountants (ICMA) a budget is a plan, quantified in…

A: Budgets are quantitative plans which are used for allocation of resources, comparing and controlling…

Q: A master budget: choose one Is an integrated set of budgets consisting of budgets related to…

A: The objective of the question is to identify the correct definition of a master budget from the…

Q: You have been awarded a project to start in the next six months. One of your tasks is to determine a…

A: First we need to understand the meaning of budget. Budget is a quantitative expression of a plan of…

Q: When budgeting, how do we go about figuring out what our costs are for the coming year?

A: A budget is a schedule that shows estimated revenues and expenses for a specific future period.…

Q: Which of the following statements is the intended goal or outcome of a traditional line-item budget?…

A: A traditional line-item budget is a type of budget format that presents the financial information by…

Q: Budgeted income statement and balance sheet As a preliminary to requesting budget estimates of…

Q: budgeted balance sheet sales budget production budget budgeted…

A: Budgeted balance sheet Explanation ; A financial budget has 3 elements 1. cash budget…

Q: Prepare a brief summary of each technique and select which technique provides the best measure and…

A: 1. Payback Period:Summary: Calculates the time it takes for the initial investment to be recovered…

Q: Prepare a Budgeted Statement of Financial Position as at 31 December 2022 using the below…

A: For simplification, Pass journal entries roughly for ease of calculations for each adjustments given…

Q: Example of preparing a Pro Forma Balance Sheet Statement Budget

A: Pro Forma: A pro forma statement could be a prediction, and a budget is a plan. Your budget could…

Q: Another team member who is preparing the Budgeted Balance Sheet for the business for the same…

A: The balances of the trade receivables and trade payables are required by the company to determine so…

Q: How do the following terms relate to the end of the budget year or the end of the grant period?…

A: 1. Carryover: Carryover is the amount of funds that a grantee may be able to carry over from one…

Q: solve please with clear and proper explanation , calculation for each part and steps answer in text…

A: Vinson Company's first-quarter 2024 budget provides crucial information for preparing schedules of…

Q: 7) A master budget is a set of Budgets made Forecasts made Schedules and budgeted financial…

A: Budgeting: It is the preplanning of all expenditures to be done in relation with the present income…

Q: A company is planning to prepare Budget for the year 2022. In the budgeting and planning process,…

A: The strategic plan is the planning report that specifies the organizational goal, the procedure of…

Q: Which of the following accounts are most likely to be used in a journal entry to record the budget?…

A: According to the question given, we need to select the correct option and explain it.Budget:Budget…

Q: income statement for 2022. Relevant data pertaining to its sales, production, and direct materials…

A: A financial statement used by businesses to project their future bottom lines is a budgeted income…

Q: when preparing the statement of budgeted balance sheet for a business, how do you find the expected…

A: Trade receivables, also known as Debtors, are accounts with amounts owed to a business by its…

Q: Use the information provided below to prepare the following for November and December 2021: 1.…

A: Cash budget means expected cash receipts and expected cash payment with opening and closing cash…

Q: he knowledge you have Outline the steps in preparing an operating

A: Operating budget is very important for the operations of the company because that it helps in smooth…

Q: What function does an annual budget serve as a part of a company's performance measurement system…

A: Budget is the estimation of the expenditure which will be incurred for the period for which budget…

Q: When gathering financial information, the entrepreneur should develop a budget that includes…

A: A budget is a financial plan that estimates the revenue and expense / cash flows / production /…

Q: 2. Which of the following budgets will typically have the longest budget period? a. Capital…

A: a. Capital expenditures budgetExplanation:A key component of financial management for businesses is…

Q: Which of the following is a correct definition of budget? Select one: O a A financial and/or…

A: Planning is an important process under the cost accounting, an organization can not achieve their…

Q: effect the fourth-quarter budget

A: Meaning of Budget Budget is a forecast or estimation of the income and expenditure that could occur…

Q: A capital budget shows a proposed list of investments.

A: The objective of the question is to understand what a capital budget is and what it shows.

Q: Identify some essential component of the annual budget process for a state or local government. How…

A: Budgeting: It is the systematic method of developing a plan to utilize the available funds…

Q: Which of the following items do you need to have available to develop a budget? a) Prior period…

A: Budget is an estimation of the cost/ expenses and income/ revenue of the particular period. In…

Q: Another team member who is preparing the Budgeted Balance Sheet for the business for the same…

A: Trade Receivable Trade Receivable is an important part in the liquidity of the business entity which…

Q: what should these amounts be

A: Trade payables are those payables of the company which the company have to pay which has resulted…

Concept explainers

Master Budget

A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.

Sales Budget and Selling

A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.

Question

Tale me to the text The fallawing is Alpha Hatel's incarne statement for the year ended Octaber 31, 2020.
Pevenues will increase by 1.5% Marketing costs will decrease by 3% Maragement salaries will increase by
4 ? Variable woges will remain carsistent as a percentage of revenue. Ltilities will incresse by 6%
Administrative costs and rent will remain the same Do not enter dollar signs pr cammas in the input baves.
Prepare the budgeted income statement for the year ending October 31, 2021 using the incremental
budgeting approach.
Take me to the tot
The following is Alpha Hotel's income statement for the year ended October 31, 2020
Alpha Hotel
Income Statement
For the Year Ended October 21, 2020
$410,000
Expenses
Administrative Costs $20,000
$15,000
$288.000
$82,000
$174,000
$25,000
Marking
Variable Weres
Management Salar
Pent
Utilities
Net Income
Apha Hotel is a limited service hotel with 10 rooms and no food and beverage operations Management does not intend to spend a lot of time and money on budgeting. The manager has determined the 2021 budgeted income statement should simply effect the following predicted changes from the 2020 income statement
Revenues will increase by 1.5%
• Marketing costs will clecrease by 3%
• Management salaries will increase by 4%
• Variable wages will remain consistent as a percentage of revenue
Utilities will inby
• Administrative costs and rent will remain the same
$604,000
+
$200,000
Prepare the budgeted income statement for the year ending October 31, 2021 using the incremental budgeting approach
Alpha Hotel
Budgeted Income Statement
For the Year Ended October 31, 2021
$622150
Revenue
Expenses
Administrative Costs 20000
Variable We
Fent
Management Salari 580
Uits
Total Expenses
14550
1174000
1

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Introduction

VIEW

Step 2: Budgeted Income Statement

VIEW

Solution

VIEW

Step by step

Solved in 3 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

The income statement for the first quarter of 2019 was as follows: Income Statement For the Quarter Ended March 31, 2019 Sales Cost of goods sold Gross profit Operating expenses ales salaries Rent expense Depreciation Utilities Miscellaneous Total operating expenses Net income $52,000 24,000 12,000 3,600 12,800 $720,000 396,000 324,000 104,400 $219,600 Prepare a budgeted quarterly income statement in tabular form for the first quarter of 2020.
What revenue sources allow this budget to be balanced in each year? What revenue source will have the greatest impact on the budget? What assumptions have been made with respect to revenue sources? What two expenditures will have the greatest impact upon the budget?
An accounting statement that presents predicted amounts of the company's assets, liabilities, and stockholders' equity as of the end of the budget period is called a(n): Multiple Choice Budgeted income statement. Pro forma cash flow statement. Master balance sheet. Pro forma balance sheet. Operating balance sheet.
please explain step-by-step how to calculate an operational budget with the information provided: The time window would be in a year of operation total expenses for the year would be $22,298.57 projected income for the year would be $64,000
The project budgeting process involves two steps. The first step is to determine the total budgeted cost (TBC), which is the aggregate amount of the estimated costs of all the specific activities to perform and complete a work package or the project. Review the below Budgeted Cost table by period per activity and calculate the cumulative total cost for the following days: a) b) c) d) e) Day: 2 Day: 4 Day: 7 Day: 9 Day: 12 The Independent Institute of Education (Pty) Ltd 2022 21; 22; 23 1 Activity 1 2 Activity 2 Activity 3 Activity 4 Activity 5 22 4 5 32 7~ Days 4 5 6 2 2 2 4 3 3 5 5 5 5 5 Amounts are in thousands of Rands. 7 2 82 9 10 4 6 10 10 Page 4 of 6 11 12 3 2 2022
how about these 3 requirments Prepare a direct materials budget for the first quarter of the financial year ending 30 September 2022. Prepare a cash budget for the first quarter of the financial year ending 30 September 2022 including any necessary schedules. Prepare a budgeted income statement for the first quarter of the financial year ending 30 September 2022.
Which of the following would appear on both the budgeted income statement and on the schedule of expected cash disbursements for operating expenses? (A) Depreciation expense (B) Rent expense (C) Sales commission expense (D) Both B and C
(b) Another team member who is preparing the Budgeted Balance Sheet for the business for the same quarter ending September 30, 2022, has asked you to furnish him with the figures for the expected trade receivables and payables to be included in the statement. Is that a reasonable request? If yes, what should these amounts be?
Another team member who is preparing the Budgeted Balance Sheet for the business forthe same quarter ending March 31, 2023 and has asked you to furnish him with the figuresfor the expected trade receivables and payables to be included in the statement. Is that areasonable request? If yes, what should these amounts be?
A variant of fiscal-year budgeting whereby a 12 month projection into the future is maintained at all times is termed?
Determine if the following items can be found on a Balance Sheet, cash flow statement, or a budget. *Current value of your investment account. *Spending patterns for the past few months.