Grandma's Touch Specialty Foods produces a specialty flavoured coffee that is sold to hotel chains by the case for $50 per case. For the upcoming quarter, Fairly Good Foods is projecting the following sales:
The budgeted cost of manufacturing each case is $20. Operating expenses are projected to be $45,000 in January, $50,000 in February, and $75,000 in March. Fairly Good Foods is subject to a corporate tax rate of 30%.
Required:
Prepare a budgeted income statement for the first quarter, with a column for each month
and for the quarter.

Question

Grandma's Touch Specialty Foods produces a specialty flavoured coffee that is sold to hotel chains by the case for $50 per case. For the upcoming quarter, Fairly Good Foods is projecting the following sales:
  The budgeted cost of manufacturing each case is $20. Operating expenses are projected to be $45,000 in January, $50,000 in February, and $75,000 in March. Fairly Good Foods is subject to a corporate tax rate of 30%.
Required:
Prepare a budgeted income statement for the first quarter, with a column for each month
and for the quarter.

Quizplus · Accepted Answer

The Answer of Grandma's Touch Specialty Foods produces a specialty flavoured coffee that is sold to hotel chains by the case for $50 per case. For the upcoming quarter, Fairly Good Foods is projecting the following sales:
  The budgeted cost of manufacturing each case is $20. Operating expenses are projected to be $45,000 in January, $50,000 in February, and $75,000 in March. Fairly Good Foods is subject to a corporate tax rate of 30%.
Required:
Prepare a budgeted income statement for the first quarter, with a column for each month
and for the quarter.

Grandma's Touch Specialty Foods Produces a Specialty Flavoured Coffee That