=+PR 22-5B Budgeted income statement and balance sheet objs. 4, 5

✔ 1. Budgeted net income, $222,050 Chapter 22 Budgeting 1039 Estimated Costs and Expenses Fixed Variable

(Total for Year) (Per Unit Sold)

Cost of goods manufactured and sold:

Direct materials . . . . . . . . . . . . . . . . . . . . . . — $0.90 Direct labor. . . . . . . . . . . . . . . . . . . . . . . . . . — 0.55 Factory overhead:

Depreciation of plant and equipment. . . . . $48,000 —

Other factory overhead . . . . . . . . . . . . . . . 8,000 0.35 Selling expenses:

Sales salaries and commissions . . . . . . . . . . 42,000 0.40 Advertising . . . . . . . . . . . . . . . . . . . . . . . . . . 60,000 —

Miscellaneous selling expense . . . . . . . . . . . 5,000 0.20 Administrative expenses:

Office and officers salaries . . . . . . . . . . . . . . 69,200 0.15 Supplies . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,000 0.08 Miscellaneous administrative expense . . . . . 3,000 0.12