(AlCPA) Comprehensive budgeted income statement for a service firm Ruidoso Ski Lodge operates a ski shop, restaurant, and lodge during the 120-day ski season from November 15 to March 15. The proprietor is considering changing his operations and keeping the lodge open all year. Results of the operations for the year ended March 15,1992 were as follows:

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Ski Shop Restaurant Lodge Revenue $27,000 Amount Percent 100% $40,000 Amount Percent 100% Amount Percent $108,000 100% Costs: Cost of goods sold 14,850 55 24,000 Supplies.... 1,350 5 4,000 Utilities. 270 1 1,200 Salaries 1,620 6 12,000 .30 6030 10 7,560 2,160 32,400 Insurance 810 Property taxes on building Depreciation... 540 1,080 324 800 2 9,720 1,600 4 6,480 12096 7 30 2,000 5 28,080 26 Total costs 20,520 76 45,600 114 86,400 80 Net income or (loss) $ 6,480 24% $ (5,600) (14) % $ 21,600 20%