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Complete this question by entering your answers in the tabs below. Prepare the budgeted income statement based on Atlantic Division's proposal of a 4 percent

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Complete this question by entering your answers in the tabs below. Prepare the budgeted income statement based on Atlantic Division's proposal of a 4 percent increase. Complete this question by entering your answers in the tabs below. Prepare an income statement with 9 percent growth. Complete this question by entering your answers in the tabs below. If growth is actually 9 percent as usual, how much bonus would Atlantic Division's executive officers recelve if the president had approved the division's proposal? Zachary Corporation has three divisions, each operating as a responsibility centec. To provide an incentive for divisional executive officers, the company gives divisional management a bonus equal to 18 percent of the excess of actual net income over budgeted net income, The following is Atlantic Division's current year's performance. The president has just recelved next year's budget proposal from the vice president in charge of Atlantic Division. The proposal budgets a 4 percent increase in sales revenue with an extensive explanation about stiff market competition. The president is puzzled. Atlantic has enjoyed revenue orowth of around 9 percent for esch of the past five years, The president had consistently approved the division's budget proposals based on 4 percent growth in the past. This time, the president wants to show that he is not a fool. 1 will impose a 14 percont revenue increase to teach them a cessonl" the president says to himselt smugly. Assume that cost of goods sold and selling and administratve expenses remain stable in proportion to sales. Required a. Prepare the budgeted income statement based on Atlantic Division's proposal of a 4 percent increase. b-1. Prepare an income statement with 9 percent growth. b-2. If growth is actually 9 percent as usual, how much bonus would Atlantic Division's executive officers receive if the president had approved the division's proposal? c. Prepare the budgeted income statement based on the 14 percent increase the president imposed. d. If the actual results turn out to be a 9 percent increase as usual, how much bonus would Allantic Division's executive officers recelve since the president imposed o 14 percent increase? Complete this question by entering your answers in the tabs below. c. Prepare the budgeted income statement based on the 14 percent increase the president imposed. d. If the actual results turn out to be a 9 percent increase as usual, how much bonus would Atiantic Division's executive officers recelve since the president imposed a 14 percent increase

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