E8-37. Budgeted income statement Last year's income statement for Cooper Company is as folliown-: This year, unit sales are expected to increase by 25 percent; material and labot cost are expected to increase by 10 percent per unit. Overhead is applied to production based on a petcentage of direct labor costs. Fixed selling expenses total $24,000; the remainder varies with salor dollars. All administrative costs are fixed. Management desires to earn 10 percent on sales this year and will adjust the unit selling price if necessary. Develop a budgeted income statement for the year for Cooper Company that incorporates the indicated changes