Haven Company has accumulated the following budget data for the year 2012:
1. Sales: 30,000 units; unit selling price $80
2. Cost of one unit of finished goods: direct materials, 2 kg at $5 per kilogram; direct labour, three hours at $12 per hour; and manufacturing overhead, $6 per direct labour hour
3. Inventories (raw materials only): beginning, 10,000 kg; ending, 15,000 kg
4. Raw materials cost: $5 per kilogram
5. Selling and administrative expenses: $200,000
6. Income taxes: 30% of income before income taxes
Instructions
(a) Prepare a schedule showing the calculation of the cost of goods sold for 2012.
(b) Prepare a budgeted income statement for 2012?