Bratt Simpson manufactures a specialty precision scale. For January, the company expects to sell 1.200 scales at an average price of $2.350 per unit. The
Bratt Simpson manufactures a specialty precision scale. For January, the company expects to sell 1.200 scales at an average price of $2.350 per unit. The average manufacturing cost of each unit sold is $1.480. Variable operating expenses for the company 1lyill be 51.90 per unit sold and xed operating expenses are expected to be $?,300 for the month. Monthly interest expense is 53.700. The company has a tax rate of 40% of income before taxes. Prepare Bratt Simpson's budgeted income statement for January. For the Month Ended January 31 Sales Less: Cost of goods sold Gross profit Less: Operating expenses, variable portion Less: Operating expenses, fixed portion Operating income Less: Interest expense Less: Income tax expense Net income
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