• Prepare a budgeted income statement for Starbucks Corporation for the quarter ending June 30, 2024.
• Include the following projections:
  • Expected Sales: $500,000
  • Expected Cost of Goods Sold: $300,000
  • Expected Operating Expenses:
    • Salaries Expense: $80,000
    • Rent Expense: $25,000
    • Advertising Expense: $20,000
    • Utilities Expense: $10,000
  • Expected Interest Expense: $5,000
  • Expected Income Tax Expense: $12,000

Question:

Using the given projections, prepare a budgeted income statement for Starbucks Corporation for the quarter ending June 30, 2024. Calculate the projected Net Income and explain how the budgeting process can help in financial planning.