Budgeted Income Statement and Balance Sheet As a preliminary to requesting budget estimates of sales, costs, and expenses for the fiscal year beginning January 1, 2049, the following tentative trial balance as of December 31, 2018, is prepared by the Accounting Department of Regina Soap Co.: $109,300 209,900 Accounts Receivable Finished Goods 44,100 Work in Process Materials 29,400 48,300 3,600 529,000 Prepaid Expenses Plant and Equipment Accumulated Depreciation--Plant and Equipment Accounts Payable Common Stock, 510 par Retained Earnings $227,500 154,500 350,000 241,600 $973,600 $973,600 Factory output and sales for 20y9 are expected to total 26,000 units of product, which are to be sold at $110 per unit. The quantities and costs of the inventories at December 31, 2019, are expected to remain unchanged from the balances at the beginning of the year Budget estimates of manufacturing costs and operating expenses for the year are summarized as follows: Estimated costs and Expenses Fixed Variable (Per Unit Sold) (Total for Year) Cost of goods manufactured and sold: Direct materials Direct labor $28 Factory overhead: Depreciation of plant and equipment Other factory overhead Selling expenses: $26,000 8,100 Sales salaries and commissions Advertising 93,300 78,000 6,800 Miscellaneous selling expense Administrative expenses: Orice and officers salaries 61,400 Supplies 3,100 Miscellaneous administrative expense 1,600 Balances of accounts receivable, prepaid expenses, and accounts payable at the end of the year are not expected to differ significantly from the beginning balances. Federal income tax of $251,900 on 2049 taxable income will be paid during 2019. Regular quarterly cash dividends of S1 per share are expected to be declared and paid in March, June, September, and December on 35,000 shares of common stock outstanding. It is anticipated that fixed assets will be purchased for 5143,000 cash in May. Required: 2. Prepare a budgeted balance sheet as of December 31, 2049. Regina Soap Co. Budgeted Balance Sheet December 31, 2049 Assets Current assets: Cash Accounts receivable Inventories: Finished goods Work in process Materials Prepaid expenses Total current assets Property, plant, and equipment: Plant and equipment s Accumulated depreciation Total property, plant, and equipment Materiais Prepald expenses Total current assets Property, plant, and equipment: Plant and equipment Accumulated depreciation Total property, plant, and equipment Total assets Llabilities Current liabilities: Accounts payable Stockholders' Equity Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity