HELLO
I NEED HELP WITH THIS QUESTION PLEASE
Howard Cooper, the president of Rundle Computer Services, needs your help. He wonders about the potential effects on th income if he changes the service rate that the firm charges its customers. The following basic data pertain to fiscal year 20 Standard rate and variable costs Service rate per hour $ 80 .00 Labor cost 32.00 5 Overhead cost 7. 10 Selling, general, and administrative cost 4.00 points Expected fixed costs Facility maintenance $524, 000 Skipped Selling, general, and administrative 141,000 Required: a. Prepare the pro forma income statement that would appear in the master budget if the firm expects to provide 37,000 ho services in 2019. b. A marketing consultant suggests to Mr. Cooper that the service rate may affect the number of service hours that the firm achieve. According to the consultant's analysis, if Rundle charges customers $75 per hour, the firm can achieve 47,000 h services. Prepare a flexible budget using the consultant's assumption. c. The same consultant also suggests that if the firm raises its rate to $85 per hour, the number of service hours will decline Prepare a flexible budget using the new assumption. Complete this question by entering your answers in the tabs below. Required A Required B Required C Prepare the pro forma income statement that would appear in the master budget if the firm expects to provide 37,000 hours of services in 2019. RUNDLE COMPUTER SERVICES Pro Forma Income Statement Master Budget5 Complete this question by entering your answers in the tabs below. points Skipped Required A Required B Required C Prepare the pro forma income statement that would appear in the master budget if the firm expects to provide 37,000 hours of services in 2019. RUNDLE COMPUTER SERVICES Pro Forma Income Statement Master Budget Variable costs: $ 0 Fixed costs: 0