(b)

Crane Company has accumulated the following budget data for the year 2022. 1 2. Sales: 37,800 units, unit selling price $85. Cost of one unit of finished goods: direct materials 2 pound at $7 per pound, direct labor 3 hours at $15 per hour and manufacturing overhead $5 per direct labor hour. Inventories (raw materials only): beginning, 12,600 pounds; ending, 18,900 pounds. Selling and administrative expenses: $ 214,200; interest expenge: $37,800. Income taxes: 20% of income before income taxes. 3. 4. 5. Prepare a schedule showing the computation of cost of goods sold for 2022. CRANE COMPANY Computation of Cost of Goods Sold For the Year Ending December 31, 2022 Cost of one unit of finished goods: tA 14 Direct materials 45 Direct labor D Manufacturing overhead 15 Total $ 74 Cost of Goods Sold LA 2797200 (b) Prepare a budgeted multiple-step income statement for 2022. CRANE COMPANY Budgeted Income Statement h V Net Income /(Loss) Purchases Ending Inventory Income Tax Expense Total Operating Expenses Beginning Inventory Cost of Goods Sold Operating Expenses Income before Income Taxes Gross Profit Selling and Administrative Expenses Sales Income from Operations