Sales (units) 13,000 Sales price per unit $40 Uncollectible expense* 1% Direct material per unit $1 Direct labor per unit (hours) 0.50 Direct labor rate per hour $21 Manufacturing overhead $14,000 Variable sales and administrative expenses per unit $2 Fixed sales and administrative expenses $21,000 Taxes** 15% *of sales **of income before taxes Prepare a budgeted income statement using the above information. Round final answers to nearest whole dollar.
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.
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Sales (units) 13,000 Sales price per unit $40 Uncollectible expense* 1% Direct material per unit $1 Direct labor per unit (hours) 0.50 Direct labor rate per hour $21 Manufacturing overhead $14,000 Variable sales and administrative expenses per unit $2 Fixed sales and administrative expenses $21,000 Taxes** 15% *of sales
**of income before taxes
Prepare a
budgeted income statement using the above information. Round final answers to nearest whole dollar.Budgeted Income Statement For the Year Ending Dec. 31, 2020 $fill in the blank 2 $fill in the blank 4 fill in the blank 6 fill in the blank 8 fill in the blank 10 $fill in the blank 12 fill in the blank 14 fill in the blank 16 fill in the blank 18 $fill in the blank 20 fill in the blank 22 $fill in the blank 24
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