/irn/takeAssignment/takeAssignmentMain.do?inprogress true Budgeted Income Statem

Question

/irn/takeAssignment/takeAssignmentMain.do?inprogress true Budgeted Income Statement and Balance Sheet As a preliminary to requesting budget estimates of sales, costs, and expenses for the fiscal year beginning January 1, 20Y4, the following tentative trial balance as of December 31, 20Y3, is prepared by the Accounting Department of Regina Soap Co.: 85,000 125,600 69,300 32,500 48,900 2,600 325,000 Cash Accounts Receivable Finished Goods Work in Process Materials Prepaid Expenses Plant and Equipment Accounts Payable Common Stock, $10 par Retained Earnings $156,200 62,000 180,000 290,700 $688,900 $688,900 Factory output and sales for 20Y4 are expected to total 200,000 units of product, which are to be sold at $5.00 per unit. The quantities and costs of the inventories at December 31, 20Y4, are expected to Check My Work 10 more Check My Work uses remaining Previous 1:13 PM 11/24/2017 e d

Explanation / Answer

Regina Soap Co. Budgeted Income Statement For the year ending December 31,20Y4 Sales 10,00,000 Cost of goods sold : Direct Material     2,20,000 Direct Labour     1,30,000 Factory Overheads     1,32,000 ($40,000 + $12,000 + $80,000)     4,82,000 Gross Profit     5,18,000 Operating Expenses: Selling Expenses Sales Salaries and commissions         1,36,000 Advertising            64,000 Miscellaneous Selling Expenses            56,000 Total Selling Expenses     2,56,000 Administrative Expenses Office and Officers Salaries            96,400 Supplies            25,000 Miscellaneous Administrative Expenses            14,000 Total Administrative Expenses     1,35,400 Total Operating Expenses     3,91,400 Income Before Income Tax     1,26,600 Federal Income Tax        30,000 Net Profit After Income Tax        96,600 Regina Soap Co. Budgeted Balance Sheet December 31,20Y4 Asstes Current Assets: Cash     1,35,800 Accounts Receivables     1,25,600 Inventories: Finished Goods            69,300 Work in progress            32,500 Materials            48,900     1,50,700 Prepaid Expenses           2,600 Total Current Assets     4,14,700 Property, Plant and Equipment: Plant and Equipments     4,00,000 Less:Accumulated Depreciation     1,96,200     2,03,800 Total Assets     6,18,500 Liabilities Current Liabilities : Accounts Payable    62000 Stockholder's Equity Common stock, $10 par     1,80,000 Retained Earnings     3,76,500 Total Stockholder's Equity 5,56,500 Total Liabilities and stockholder's Equity    6,18,500

Related Questions

Navigate

• Browse (All)
• Browse #
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.