13 neducation.com Mersu 10 The following information is available for year 1 for Pepper Products sales revenue 120.000 utartartag Materials Variable cash conte redacta Depreciation fixed arketing and live coats martiere, cash are depreciation Ministrative, ca Administrative depreciation to co petits 16260.000 1363,000 108,00 708,000 2,153,000 923,000 123.000 1.099,000 261.000 16,0,000 126,00 Al depreciation charges are feed and are expected to remain the same for year 2. Sales volume is expected to fall by 3 percent, but prices are expected to me by 13 percent. Material costs per unit are expected to increase by 10 percent Other unit variable manufacturing costs are expected to decreme by 7 percent per unit. Fued cash costs are expected to increase by 2 percent Variable marketing costs will change with unt volume Administrative cash costs are expected to increase by 3 percent, Inventories we kept at zero. Pepper Products operates on a cash basis Required: whole dollar amounts) Prepare a budgeted income statement for your 2. (Do not round intermediate calculations. Round your final answers to the nearest PEPPER PRODUCTS Bed comment For Year Manufacturing costs 2 TK Assignment #3 6/21.15pm Variable marketing costs will change with unit volume. Administrative cash costs are kept at zero. Pepper Products operates on a cash basis. Required: Prepare a budgeted income statement for year 2. (Do not round intermediate whole dollar amounts.) PEPPER PRODUCTS Budgeted Income Statement For Year 2 Manufacturing costs: Total manufacturing costs Marketing and administrative costs: Total marketing and administrative costs Total costs