Gig Harbor Boating is the wholesale distributor of a small recreational catamaran sailboat. Management has prepared the following summary data to use in its annual budgeting process:
Budgeted unit sales 480
Selling price per unit $1,960
Cost per unit $1,350
Variable selling and administrative expenses (per unit) $40
Fixed selling and administrative expenses (per year) $225,000
Interest expense for the year $12,000
Required:
Prepare the company’s budgeted income statement using an absorption income statement format.
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Gig Harbor Boating is the wholesale distributor of a small recreational catamaran sailboat. Manageme...
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