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Save Submit Wayne Frederick expects second-quarter 2021 sales of Bison Business Solution's line of computer forture to be the same as the fest quarter's sales

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Save Submit Wayne Frederick expects second-quarter 2021 sales of Bison Business Solution's line of computer forture to be the same as the fest quarter's sales reported below) without any changes in strategy Monthly sales averaged 39 deskuses price of 51210) and chairs (sales price of $460). O Boxiness Solutions Computer Furniture Segment tent Income Statement For Quarter Ended March 1, 2021 Sales 5163, 650 Cost of goods solat 121,00 Gross profit 1,700 Expenses Sales Comissions (104) 16,365 Advertising expenses 7,600 Other Fixed expenses 10.000 Total expenses Net incon Reflects revenue and expense activity only related to the computer furniture segment 1 Revenue: (117 desks $1210) + (48 chairs $460) $141,570 - $22.080 - $163650 Cost of goods sold: (117 desks - $710) + (48 chairs $210) $28.800 - $12.950 Wayne Frederick believes that soles will increase each month for the next three months (April 17 desks, 2 cha May, 5t desks, 31 choirsJune, 55 desks. 34 chairs) it selling prices are reduced to $1090 for desks and $410 for chairs and advertising expenses are Increased by 10% and remain at that level for all three months. The products viable cost will remain of $710 for desks and $210 for chairs. The sales staff will continue to earn a 10% commission, the fed manufacturing costs per month worms at 9.600 and other foxed expenses will remain at $5,600 per month Required: 1. Prepare budgeted income statements for the computer furniture segment for each of the months of April, May and Jone that show the expected results from implementing the proposed changes. Use a three-column format with one column for each month 2. Recommend whether Wayne Frederick should implement the proposed changes. Complete this question by entering your answers in the tabs below. Required 2

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