Problem 21-2A (Part Level Submission) Deleon Inc. is preparing its annual budgets for the year ending December 31, 2017. Accounting assistants furnish the data shown below. Product JB 50 Product JB 60 Sales budget: Anticipated volume in units 402,300 203,700 Unit selling price $23 $27 Production budget: Desired ending finished goods units 28,100 18,100 Beginning finished goods units 34,100 12,500 Direct materials budget: Direct materials per unit (pounds) 1 3 Desired ending direct materials pounds 34,000 18,500 Beginning direct materials pounds 44,600 13,400 Cost per pound $3 $3 Direct labor budget: Direct labor time per unit 0.4 0.6 Direct labor rate per hour $12 $12 Budgeted income statement: Total unit cost $14 $22 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $661,000 for product JB 50 and $361,000 for product JB 60, and administrative expenses of $545,000 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%. (e) Prepare the budgeted multiple-step income statement for the year. (Note: income taxes are not allocated to the products). DELEON INC. Budgeted Income Statement December 31, 2017For the Quarter Ending December 31, 2017For the Year Ending December 31, 2017 JB 50 JB 60 Total Beginning InventoryAdministrative ExpensesIncome before Income TaxesIncome Tax ExpenseIncome from OperationsPurchasesInterest ExpenseNet Income / (Loss)Operating ExpensesTotal Operating ExpensesSalesSelling ExpensesCost of Goods SoldEnding InventoryGross Profit $ $ $ Income before Income TaxesCost of Goods SoldIncome Tax ExpenseInterest ExpenseNet Income / (Loss)Gross ProfitBeginning InventoryIncome from OperationsOperating ExpensesPurchasesSalesEnding InventorySelling ExpensesTotal Operating ExpensesAdministrative Expenses Administrative ExpensesSalesIncome before Income TaxesTotal Operating ExpensesPurchasesSelling ExpensesIncome from OperationsIncome Tax ExpenseGross ProfitEnding InventoryInterest ExpenseBeginning InventoryNet Income / (Loss)Operating ExpensesCost of Goods Sold Beginning InventoryOperating ExpensesGross ProfitIncome before Income TaxesAdministrative ExpensesPurchasesCost of Goods SoldTotal Operating ExpensesEnding InventoryIncome from OperationsIncome Tax ExpenseInterest ExpenseSalesNet Income / (Loss)Selling Expenses Income from Operations Purchases Income before Income Taxes Income Tax Expense Sales Interest Expense Selling Expenses Total Operating Expenses Net Income / (Loss) Operating Expenses Gross Profit Administrative Expenses Beginning Inventory Cost of Goods Sold Ending Inventory Income Tax Expense Interest Expense Cost of Goods Sold Operating Expenses Purchases Administrative Expenses Ending Inventory Gross Profit Net Income / (Loss) Beginning Inventory Total Operating Expenses Income before Income Taxes Income from Operations Sales Selling Expenses Total Operating ExpensesIncome from OperationsPurchasesIncome Tax ExpenseGross ProfitNet Income / (Loss)Interest ExpenseAdministrative ExpensesCost of Goods SoldOperating ExpensesEnding InventorySalesIncome before Income TaxesSelling ExpensesBeginning Inventory Total Operating ExpensesOperating ExpensesPurchasesSalesSelling ExpensesAdministrative ExpensesBeginning InventoryIncome from OperationsCost of Goods SoldEnding InventoryIncome before Income TaxesGross ProfitIncome Tax ExpenseInterest ExpenseNet Income / (Loss) $ $ Net Income / (Loss)PurchasesIncome Tax ExpenseBeginning InventoryAdministrative ExpensesOperating ExpensesTotal Operating ExpensesSalesSelling ExpensesIncome from OperationsEnding InventoryCost of Goods SoldInterest ExpenseGross ProfitIncome before Income Taxes Income before Income TaxesSalesAdministrative ExpensesCost of Goods SoldBeginning InventoryEnding InventoryGross ProfitTotal Operating ExpensesIncome from OperationsIncome Tax ExpenseInterest ExpenseNet Income / (Loss)Operating ExpensesPurchasesSelling Expenses Selling ExpensesOperating ExpensesIncome from OperationsIncome Tax ExpenseIncome before Income TaxesCost of Goods SoldNet Income / (Loss)SalesTotal Operating ExpensesInterest ExpenseEnding InventoryAdministrative ExpensesPurchasesBeginning InventoryGross Profit Gross ProfitTotal Operating ExpensesAdministrative ExpensesOperating ExpensesInterest ExpenseEnding InventoryPurchasesIncome before Income TaxesIncome from OperationsIncome Tax ExpenseNet Income / (Loss)Beginning InventorySalesSelling ExpensesCost of Goods Sold $