Assume Barnes & Noble is planning a budget for one of its stores. The estimate of sales revenue is $2,000,000 and of cost of goods sold is 70% of sales revenue. Depreciation on the office building and fixtures is budgeted at $36,000. Salaries and wages are budgeted at $375,000. Advertising has been budgeted at $12,000, and other operating costs should amount to $15,000. Income tax is estimated at 20% of operating income. Required a. Prepare a budgeted income statement for next year Use a negative sign only to indicate a net loss for income. Otherwise, do not use negative sings with your answers. Barnes & Nobles Budgeted Income Statement Next Year Sales 2,000,000 Cost of goods sold 1,400,000 Gross margin 600,000 Sales and administrative expenses Depreciation 36,000 Wages and salaries 375,000 Advertising 12,000 Other operating costs 15,000 438,000 Net income before taxes 162,000 Income taxes 32,400 Net Income (loss) $ 129,600 $ b. Assuming management desired an after-tax income of $150,000, determine the necessary sales volume. $ 3,266,667 X