Executive Solutions is a strategy consulting firm. Other than the senior leadership (who manage the firm, but do not actively consult), the managers and staff are billed to clients on an hourly basis. The workload varies quite a bit from month to month requiring careful planning. Managers are billed to clients at a rate of $1,020 per hour and staff at a rate of $510 per hour. Managers are paid $345 per hour worked (including nonbillable time) and staff are paid $185 per hour. The current plan calls for managers to bill 1,320 hours in May and 870 hours in June. Staff are expected to bill 6,640 hours in May and 4,740 hours in June. Managers will work a total of 2.640 hours in both months and staff will work a total of 9,840 hours in both months. Other monthly costs (all fixed) are $556,000 SG&A, $231,000 in depreciation, and $356,000 in marketing, Required: Prepare a budgeted income statement for Executive Solutions for May and June (separately). June EXECUTIVE SOLUTIONS Budgeted Income Statement May Revenues: Managers Staff Total revenue Expenses: Manager compensation Staff compensation Total compensation SG&A Depreciation Marketing Total expenses Income (Loss)