(Click the icon to view the budget information.) Requirement 1. Prepare a budgeted income statement for the quarter ended March 31, 2017. Free Company Budgeted Income Statement For the Quarter Ended March 31, 2017 Gross Profit Selling and Administrative Expenses: Total Selling and Administrative Expenses Operating Income (Loss) Net Income (Loss) Rea Data table Account Cash Accounts Receivable Merchandise Inventory Prepaid Insurance Equipment and Fixtures Accumulated Depreciation Salaries expense Rent expense Accounts Payable Salaries and Commissions Payable Common Stock Retained Earnings Totals December 31, 2016 Budgeted total sales, all on account Budgeted purchases of merchandise inventory, all on account Budgeted cost of goods sold Budgeted selling and administrative expenses: Commissions expense Depreciation expense Insurance expense Budgeted cash receipts from customers Budgeted cash payments for merchandise inventory Budgeted cash payments for salaries and commissions Budgeted income tax expense $ $ Debit 19,000 24,000 17,500 1,200 45,000 106,700 S $ $ 6,105 7,000 4,300 900 300 Credit 122,100 60,200 61,050 125,980 68,275 14,396 4,500 30,00 18,00 6,100 16,000 36,600 106,700 I

(Click the inon to view the budget infocmation.) Requlrement 1, Phepare a budoeted incose statement for the quarter ended March 31, 2017