Shown below are the totals from period budgets of Terrell Corporation for the current year:

Revenue budget $100,000

Materials usage from production budget 15,000

Labor cost budget 20,000

Manufacturing overhead budget 20,000

General and administrative budget 30,000

Capital expenditure budget 20,000

Work in Progress Inventories:

Beginning of Year 10,000

End of Year 5,000

Finished Goods Inventory:

Beginning of Year 15,000

End of Year 10,000

Tax Rate 40%

Required: Prepare a forecasted Income Statement for the current year:

Question

Shown below are the totals from period budgets of Terrell Corporation for the current year:

Revenue budget	$100,000
Materials usage from production budget	15,000
Labor cost budget	20,000
Manufacturing overhead budget	20,000
General and administrative budget	30,000
Capital expenditure budget	20,000
Work in Progress Inventories:
Beginning of Year	10,000
End of Year	5,000
Finished Goods Inventory:
Beginning of Year	15,000
End of Year	10,000
Tax Rate	40%

Required: Prepare a forecasted Income Statement for the current year:

Quizplus · Accepted Answer

The Answer of Shown below are the totals from period budgets of Terrell Corporation for the current year:

Revenue budget	$100,000
Materials usage from production budget	15,000
Labor cost budget	20,000
Manufacturing overhead budget	20,000
General and administrative budget	30,000
Capital expenditure budget	20,000
Work in Progress Inventories:
Beginning of Year	10,000
End of Year	5,000
Finished Goods Inventory:
Beginning of Year	15,000
End of Year	10,000
Tax Rate	40%

Required: Prepare a forecasted Income Statement for the current year:

Shown Below Are the Totals from Period Budgets of Terrell