Part $7$ of $9$

The interest on any short$-$term borrowing will be paid when the loan is repaid. Interest on Intercoastal's bonds is

paid semiannually on January $31$ and July $31$ for the preceding six$-$month period.

Property taxes are paid semiannually on February $28$ and August $31$ for the preceding six$-$month period.

Required:

Prepare Intercoastal Electronics Company's master budget for the first quarter of $201$ by completing the following

schedules and statements.

Prepare Intercoastal Electronics' budgeted income statement for the first quarter of $20$x$1.($Ignore income taxes.$)$