Exercise 9-13 (Video)

Fultz Company has accumulated the following budget data for the year 2020.

1.		Sales: 31,100 units, unit selling price $85.
2.		Cost of one unit of finished goods: direct materials 1 pound at $5 per pound, direct labor 3 hours at $12 per hour, and manufacturing overhead $6 per direct labor hour.
3.		Inventories (raw materials only): beginning, 10,100 pounds; ending, 15,100 pounds.
4.		Selling and administrative expenses: $170,000; interest expense: $30,000.
5.		Income taxes: 30% of income before income taxes.

Prepare a schedule showing the computation of cost of goods sold for 2020.

FULTZ COMPANY Computation of Cost of Goods Sold Cost of one unit of finished goods: Direct materials Direct labor Manufacturing overhead Total Cost of Goods Sold Prepare a budgeted multiple-step income statement for 2020. FULTZ COMPANY Budgeted Income Statement