Cook Farm Supply Company manufactures and sells a pesticide called Snare. The following data are available for preparing budgets for Snare for the first 2 quarters of 2020.

1.		Sales: quarter 1, 28,400 bags; quarter 2, 42,600 bags. Selling price is $61 per bag.
2.		Direct materials: each bag of Snare requires 4 pounds of Gumm at a cost of $3.80 per pound and 6 pounds of Tarr at $1.75 per pound.
3.		Desired inventory levels:

Type of Inventory		January 1		April 1		July 1
Snare (bags)		8,400		12,300		18,100
Gumm (pounds)		9,200		10,200		13,400
Tarr (pounds)		14,500		20,200		25,300

4.		Direct labor: direct labor time is 15 minutes per bag at an hourly rate of $16 per hour.
5.		Selling and administrative expenses are expected to be 15% of sales plus $176,000 per quarter.
6.		Interest expense is $100,000.
7.		Income taxes are expected to be 30% of income before income taxes.

Your assistant has prepared two budgets: (1) the manufacturing overhead budget shows expected costs to be 125% of direct labor cost, and (2) the direct materials budget for Tarr shows the cost of Tarr purchases to be $303,000 in quarter 1 and $425,500 in quarter 2.

Prepare the budgeted multiple-step income statement for the first 6 months. (Round intermediate calculations to 2 decimal places and final answer to 0 decimal places, e.g. 1,255.)

COOK FARM SUPPLY COMPANY Budgeted Income Statement For the Quarter Ending June 30, 2020For the Six Months Ending June 30, 2020June 30, 2020
Income from OperationsTotal Operating ExpensesSelling and Administrative ExpensesSalesEnding InventoryInterest ExpenseNet Income / (Loss)Cost of Goods SoldIncome Tax ExpensePurchasesIncome Before Income TaxBeginning InventoryGross ProfitOperating Expenses		$
Operating ExpensesSelling and Administrative ExpensesGross ProfitEnding InventoryIncome from OperationsSalesPurchasesIncome Tax ExpenseBeginning InventoryNet Income / (Loss)Total Operating ExpensesIncome Before Income TaxCost of Goods SoldInterest Expense
Net Income / (Loss)Cost of Goods SoldTotal Operating ExpensesGross ProfitPurchasesInterest ExpenseIncome Before Income TaxEnding InventorySalesIncome from OperationsSelling and Administrative ExpensesOperating ExpensesBeginning InventoryIncome Tax Expense
Income Tax ExpenseCost of Goods SoldIncome from OperationsEnding InventoryNet Income / (Loss)Selling and Administrative ExpensesGross ProfitIncome Before Income TaxOperating ExpensesSalesInterest ExpenseBeginning InventoryTotal Operating ExpensesPurchases
Income from OperationsPurchasesIncome Tax ExpenseTotal Operating ExpensesGross ProfitIncome Before Income TaxCost of Goods SoldNet Income / (Loss)Beginning InventoryInterest ExpenseSalesSelling and Administrative ExpensesEnding InventoryOperating Expenses
Income from OperationsGross ProfitTotal Operating ExpensesOperating ExpensesCost of Goods SoldSelling and Administrative ExpensesInterest ExpenseSalesPurchasesBeginning InventoryIncome Tax ExpenseEnding InventoryNet Income / (Loss)Income Before Income Tax
Income Tax ExpenseSalesPurchasesSelling and Administrative ExpensesIncome from OperationsInterest ExpenseEnding InventoryIncome Before Income TaxOperating ExpensesGross ProfitTotal Operating ExpensesBeginning InventoryNet Income / (Loss)Cost of Goods Sold
Cost of Goods SoldIncome Tax ExpenseInterest ExpenseOperating ExpensesSalesSelling and Administrative ExpensesIncome Before Income TaxGross ProfitTotal Operating ExpensesIncome from OperationsNet Income / (Loss)PurchasesBeginning InventoryEnding Inventory
PurchasesBeginning InventoryOperating ExpensesIncome from OperationsGross ProfitIncome Tax ExpenseEnding InventoryCost of Goods SoldNet Income / (Loss)Total Operating ExpensesIncome Before Income TaxSelling and Administrative ExpensesInterest ExpenseSales		$