Gig Harbor Boating is the wholesale distributor of a small recreational catamaran sailboat. Management has prepared the following summary data to use in its annual budgeting process:

Budgeted unit sales	800
Selling price per unit	$2,120
Cost per unit	$1,390
Variable selling and administrative expenses (per unit)	$65
Fixed selling and administrative expenses (per year)	$500,000
Interest expense for the year	$28,000

Required:

Prepare the companys budgeted income statement using an absorption income statement format shown below.