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Additional information: Required: Le Tour Company is a manufacturer of commercial grade exercise bikes that are sold to hotels and health clubs. Maintaining the bikes

Le Tour Company Income Statement for the Year Ended December 31, 2020 (in thousands) Revenues: Equipment

Customer maintenance Administration Total operating costs Operating income 1,000 910 $ GA 2,750 3,850

Additional information: 1. 2. 3. 4. 5. 6. 7. 8. Selling prices of bikes are expected to increase by 15% due to the introduction of

Required:

1. Prepare a budgeted income statement for the year ending December 31, 2021. 2. How well does the budget

Le Tour Company is a manufacturer of commercial grade exercise bikes that are sold to hotels and health clubs. Maintaining the bikes is an important area of customer satisfaction. Because of increase industry competition, Le Tour's financial performance has suffered. However, the introduction of a new model and a predicted upturn in the economy are leading Le Tour's managers to predict improved performance in 2021. The following income statement shows results for 2020.

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Answer 1 LeTour Company Budgeted Income Statement for the Year Ending December 31 2021 in thousands Revenues Equipment 9000 units 1150 10350 Maintenan... blur-text-image

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