(15 pts) 4. Strus, Inc., a multinational company based in Virginia, organizes and coordinates art shows and auctions throughout the world. Budgeted and actual costs and expenses for 2022 are compared in the following schedule. For 2023, the following fixed costs have been budgeted: executive salaries, $460,000; advertising expense, $200,000; merchandise insurance, $80,000; and liability insurance, $75,000. Additional information follows. a. Net sales are expected to be $6,700,000 in 2023 . b. Salary expenses for staging will increase 15 percent over actual figures for 2022 . c. Travel costs are expected to be 12 percent of net sales. d. Auctioneer services will be billed at 10 percent of net sales. e. Space rental costs will go up 15 percent from 2022 budgeted amounts. f. Printing costs are expected to be $200,000 in 2023 . g. Shipping costs are expected to rise 20 percent over 2022 budgeted amounts. h. Miscellaneous expenses for 2023 will be budgeted at $30,000. i. Home office costs are budgeted for $240,000 for 2023 . Required: a) Prepare the company's budgeted income statement for 2023. b) Should the budget director be worried about the trend in the company's operations? Be specific