During July of the current year, the management of genuine spice Inc. ask the controller to prepare August manufacturing and income statement budgets. demand was expected to be 1500 cases at $100 per case for August. Inventory planning information is provided as follows

A.) Prepare the August Factory overhead cost budget. If an amount box does not require an entry box, leave it blank.

B.) Prepare the August budgeted income statement, including selling expenses. NOTE- Because you are not required to prepare a cost of goods sold budget, the cost of goods sold calculations will be part of the budgeted income statement.(

Finished Goods Inventory: Cases Cost Estimated finished goods inventory, August 1 300 $12,000 Desired finished goods inventory, August 31 175 7,000 Materials Inventory: Oils Bottles Cream Base (oz.) (oz.) (bottles) 250 290 600 Estimated materials inventory, August 1 Desired materials inventory, August 31 1,000 360 240 Factory Overhead Cost Budget For the Month Ended August 31 Fixed Variable Total Factory overhead Utilities $ Facility lease Equipment depreciation Supplies Total $ $ $ Budgeted Income Statement Genuine Spice Inc. Budgeted Income Statement For the Month Ended August 31 $ Revenue from sales S Finished goods inventory, August 1 Direct materials Direct materials inventory, August 1 Direct materials purchases Cost of direct materials available for use S Loss direct materials inventory, August 31 Cost of direct materials placed in productions Direct labor Factory overhead Cost of direct materials available for use $ Less direct materials inventory, August 31 Cost of direct materials placed in production S Direct labor Factory overhead Cost of goods manufactured Cost of finished goods available for sale Less finished goods inventory, August 31 Cost of goods sold Gross profit Selling expenses Income before income tax $ Production Budget For the Month Ended August 31 Cases Expected cases to be sold 1,500 Plus desired ending inventory 175 Total cases required 1,675 Less estimated beginning inventory 300 Total cases to be produced 1,375 Points: 979