Current Attempt in Progress 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. Sales: quarter 1, 28,000 bags: quarter 2,42,000 bags. Selling price is $61 per bag Direct materials: each bag of Snare requires 4 pounds of Gumm at a cost of $3.80 per pound and 6 pounds of Tarrat $1.50 per pound 3. Desired inventory levels: 1 2 Type of Inventory January 1 Snare (bags) 8.100 Gumm (pounds) 9.100 Tarr (pounds) 14.100 April 1 12,100 10,100 20,100 July 1 18.100 13,100 25.100 tioN Direct labor direct labor time is 15 minutes per bag at an hourly rate of $16 per hour. Selling and administrative expenses are expected to be 15% of sales plus $176,000 per quarter. Interest expense is $100.000. 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 $298.000 in quarter 1 and $422.500 in quarter 2 (Note: Do not prepare the manufacturing overhead budget or the direct materials budget for Tarr.) Prepare the budgeted multiple-step income statement for the first 6 months. (Round intermediate calculations to 2 decimal places and final answer to decimal places, eg. 1,255.) COOK FARM SUPPLY COMPANY Budgeted Income Statement