beginning and ending finished goods inventories for May are $75$ and $45$ shades, respectively. Ending finished goods

inventory for June will be $55$ shades.

E$8-10($Algo$)$ Preparing Budgeted Income Statement $[$LO $8-3$h$]$

Each shade requires a total of $$50\mathrm{.}00$ in direct materials that includes $4$ adjustable poles that cost $$5\mathrm{.}00$ each. Shadee expects to

have $130$ in direct materials inventory on May $1,90$ poles in inventory on May $31,$ and $110$ poles in inventory on June $30.$

Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $$15$ per hour. Additionally, Shadee's

fixed manufacturing overhead is $$11,000$ per month, and variable manufacturing overhead is $$10$ per unit produced.

Additional information:

Selling costs are expected to be $9$ percent of sales.

Fixed administrative expenses per month total $$1,600.$

Required:

Prepare Shadee's budgeted income statement for the months of May and June.

Note: Do not round your intermediate calculations. Round your answers to $2$ decimal places.