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Carreras Caf is a Spanish restaurant in a college town. The owner expects that the number of meals served in June will be 40 percent

Carreras Caf is a Spanish restaurant in a college town. The owner expects that the number of meals served in June will be 40 percent below those served in May, because so many students leave for the summer. In May, the restaurant served 4,800 meals at an average price of $15. In the summer (June through August), the average price of a meal typically increases by 35 percent and the average food cost of a meal increases by 20 percent. Other costs are typically unchanged during the summer. The following cost information is available for May.

Service costs (variable with respect to meals)
Variable service costs (with respect to meals)
Food costs $ 11,200
Labor 16,800
Other variable costs 5,700
Fixed service costs 9,700
Total service costs $ 43,400
Marketing and administrative costs
Marketing (variable with respect to meals) 6,000
Administrative (fixed) 4,200
Total marketing and administrative costs $ 10,200
Total costs $ 53,600

Required:

Prepare a budgeted income statement for June.

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