Chapter 24, Problem 2CP

To determine

Budgeted income statement:

The statement which shows the difference between the expected income and expected expenses of a company is called a Budgeted income statement.

Budgeted balance sheet:

A budgeted balance sheet is an estimation regarding assets, liabilities and equity of a company for particular period of time.

To determine:

The preparation of budgeted income statement and budgeted balance sheet.