Check my work 8 00 Red Canyon T-shirt Company operates a chain of T-shirt shops in the southwestern United States. The sales manager has provided a sales forecast for the coming year, along with the following information: Date 1 Quarter 2 Quarter Quarter Buceted unit stes 40, 60,000 10,000 0.000 9 Esch T-shirt is expected to sell for $15 . The purchasing manager buys the T-shirts for $6 each The company needs to have enough T-shirts on hand at the end of each quarter to fill 25 percent of the next quarter's sales demand . Selling and administrative expenses are budgeted at $80,000 per quarter plus 10 percent of total sales revenue Required: 1. Determine budgeted sales revenue for each quarter Quarter 1 Quarter 2 Quarter 3 Budgeted Sales Revenue de each cutter 2. Determine budgeted cost of merchandise purchased for each quarter. Quarter 1 Quarter 2 Quarter 3 Budgeted Cost of Merchandise Purchased 3. Determine budgeted cost of good sold for each quarter. Quarter 1 Quarter 2 Quarter 3 Budgeted Cost of Goods Sold 4. Determine selling and administrative expenses for each quarter. Quarter 1 Quarter 2 Quarter 3 Budgeted Selling and Administrative Expenses k 8 0 Saved 5. Complete the budgeted income statement for each quarter. RED CANYON T-SHIRT COMPANY Budgeted Income Statement Quarter 1 Quarter 2 Quarter 3 Budgeted Cost of Goods Sold Budgeted Sales Revenue Budgeted Gross Margin Budgeted Selling and Administrative Expenses Budgeted Net Operating Income