Prepare the income statement budgets for the year.

Deleon Inc. is preparing its annual budgets for the year ending December 31, 2017. Accounting assistants furnish the data shown below. Product Product JB 50 JB 60 Sales budget: Anticipated volume in units Unit selling price 404,400 $21 204,600 $27 Production budget: Desired ending finished goods units Beginning finished goods units 27,900 34,100 16,900 13,400 Direct materials budget: Direct materials per unit (pounds) Desired ending direct materials pounds Beginning direct materials pounds Cost per pound 1 32,900 43,900 $2 2 18,100 11,100 $4 Direct labor budget: Direct labor time per unit Direct labor rate per hour 0.3 $11 0.6 $11 Budgeted income statement: Total unit cost $13 $21 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $664,000 for product JB 50 and $364,000 for product JB 60, and administrative expenses of $542,000 for product JB 50 and $344,000 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%