Question 3 - Budgeting (10 marks) Russell Company has the following projected trial balances for June 30, 2018: Accounts payable 80,000 Sales 1,600,000 Accounts receivable 200,000 Capital stock 800,000 Depreciation, factory 48,000 Retained earnings ? Inventories* 0 Cash 112,000 Direct materials used 400,000 Equipment, net 480,000 Office salaries 160,000 Buildings, net 800,000 Insurance, factory 8,000 Utilities, factory 32,000 Plant wages 280,000 Selling expenses 120,000 Bonds payable 320,000 Maintenance, factory 56,000 *Opening inventories for the period were also $0. Required: Prepare a budgeted income statement for June 2018