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I just need the Operating lossi think :) Coyle Manufacturing reports the following Information for year 1 : All depreclation charges are fixed. Manufacturing depreclation
I just need the Operating lossi think :)
Coyle Manufacturing reports the following Information for year 1 : All depreclation charges are fixed. Manufacturing depreclation is expected to Increase by 10 percent In year 2. Marketing and administratlve depreclation are expected to remain the same for year 2 . Sales volume is expected to Increase by 5 percent, but prices are expected to fall by 10 percent. Materlals costs per unlt are expected to decrease by 8 percent. Unit varlable cash manufacturing costs are expected to Increase by 15 percent. Flxed cash costs are expected to Increase by 6 percent. Varlable marketling costs will change with unlt volume. Administratlve cash costs are expected to decrease by 10 percent. Inventorles are kept at zero. Coyle Manufacturing operates on a cash basis. Required: Prepare a budgeted Income statement for year 2 for Coyle Manufacturing. Note: Do not round Intermedlate calculatlons. Round your final answers to the nearest whole dollar amounts. \begin{tabular}{|c|c|c|} \hline \multicolumn{3}{|c|}{ Answer is not complete. } \\ \hline \multicolumn{3}{|c|}{ Coyle Manufacturing } \\ \hline \multicolumn{3}{|c|}{ Budgeted Income Statement } \\ \hline \multicolumn{3}{|c|}{ For Year 2} \\ \hline Sales revenue & & S 5,131,350 \\ \hline \multicolumn{3}{|l|}{ Manufacturing costs: } \\ \hline Materials & & \$ 311,052 \\ \hline Variable cash costs & 2 & 309,120 \\ \hline Fixed cash costs & & 646,600 \\ \hline Depreciation (fixed) & & 2,002,000 \\ \hline Total manufacturing costs & & \$ 3,268,772 \\ \hline \multicolumn{3}{|l|}{ Marketing and administrative costs: } \\ \hline Marketing (variable, cash) & 2 & \$ 1,008,000 \\ \hline Marketing depreciation & & 289,000 \\ \hline Administrative (fixed, cash) & & 842,400 \\ \hline Administrative depreciation & & 154,000 \\ \hline Total marketing and administra & & \$ 2,293,400 \\ \hline Total costs & & S 5,562,172 \\ \hline Operating loss & & \\ \hline \end{tabular}Step by Step Solution
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