Required information [The following information applies to the questions displayed below] Iguana. Inc. manufactures bamboo picture frames that sell for $25 each. Each frame requires 4 linear feet of bamboo. which costs $200 per foot. Each frame takes approximately 30 minutes to buld, and the labor rate averages $1200 per hour. Iguana has the following inventory policies: - Ending finished goods inventory should be 40 percent of next month's sales. - Ending direct matenals inventory should be 30 percent of next month's production. Expected unit sales (frames) for the upcoming months follow: Variable manufacturing overhead is incuired at a rate of $030 per unit produced. Annual fixed manufacturing overhead is estimoted to be $7.200 (\$600 per month) for expected production of 4.000 units for the year Selling and administrative expenses are estimated at $650 per month plus $0.60 per unit sold Iguana. Inc, had $10,800 cash on hand on April 1 Or its soles, 80 percent is in cash Or the credit sales, 50 percent is collected during the month of the sale, and 50 percent is collected during the month following the sale. Or direct materials purchases, 80 percent 15 paid for during the month purchased and 20 percent is paid in the following month. Direct materials purchases for March 1 totaled $2,000. All other operating costs are paid during the month incurred Monthly fixed manufacturing overhead includes $150 in depreciation. During April, Iguana plans to pay $3,000 for a plece of equipment. Required: Complete Iguana's budgeted income statement for quarter 2 (Round cost per unit in intermediate calculations to 2 decimal places.)