Please Show work in excel. Problem 10-6

Foress Healthcare, a group practice clinic with 10 physicians, had the following income in 2017:

Revenue

$3,350,000Less operating expenses:

Salaries

Physicians

$1,340,000Nurses

146,000Nursing aide

62,500Receptionist

50,000Accounting services

46,000

Training

130,000Supplies

259,000Phone and fax

3,850Insurance

260,000

Depreciation

230,000

Utilities

18,600

Miscellaneous68,000

Total operating expenses

2,613,950

Income before taxes

736,050

Less taxes on income

257,618

Net income

$478,432

The following changes are expected in 2018:

1.The clinic is expecting a 2 percent decline in revenues because of increasing pressure from insurance companies.2.Physicians are planning to hire a physician assistant at a salary of $46,000 per year.

3.Training costs are expected to increase by $10,000.

4.Supplies are expected to increase to be 10 percent of revenue.

5.Phone, fax, accounting services and insurance amounts will stay the same.

6.Depreciation expense will increase by $22,000 per year, since the clinic is planning to purchase equipment for $125,000.

7.Utilities and miscellaneous expenses are expected to increase by 5 percent next year.

8.Taxes on income will be 35 percent.

Show budgeted income statement for Foress Healthcare for the year 2018.(Round answers to 0 decimal places, e.g. 125.)

Problem 10-6 Foress Healthcare, a group practice clinic with 10 physicians, had the following income in 2017: Revenue $3,350,000 Less operating expenses: Salaries Physicians Nurses $1,340,000 146,000 Nursing aide 62,500 Receptionist 50,000 Accounting services 46,000 Training 130,000 Supplies 259,000 Phone and fax 3,850 Insurance 260,000 Depreciation 230,000 Utilities 18,600 Miscellaneous 68,000 Total operating expenses Income before taxes Less taxes on income Net income 2,613,950 736,050 257,618 $478,432 The following changes are expected in 2018: 1. 2. 3. 4. 5. 6. 7. 8. The clinic is expecting a 2 percent decline in revenues because of increasing pressure from insurance companies. Physicians are planning to hire a physician assistant at a salary of $46,000 per year. Training costs are expected to increase by $10,000. Supplies are expected to increase to be 10 percent of revenue. Phone, fax, accounting services and insurance amounts will stay the same. Depreciation expense will increase by $22,000 per year, since the clinic is planning to purchase equipment for $125,000. Utilities and miscellaneous expenses are expected to increase by 5 percent next year. Taxes on income will be 35 percent. Prepare a budgeted income statement for Foress Healthcare for the year 2018. (Round answers to 0 decimal places, e.g. 125.) Foress Healthcare Budgeted Income Statement $ : : $