Assume the Crocs Shoe Company Is Preparing Its Master Budget

Assume the Crocs shoe company is preparing its master budget for the first quarter of its calendar year. The following forecasted data relate to the first quarter: $\begin{array}{ll}\text { Unit sales: } & \\\text { January } & 40,000 \\\text { February } & 60,000 \\\text { March } & 50,000 \\\text { Unit sales price } & \$ 25 \\\text { Cost of goods sold per unit } & \$ 14\\\text { Expenses: }\\\text { Commissions } & 10 \% \text { of sales } \\\text { Rent } & \$ 20,000 \text { month } \\\text { Advertising } & 15 \% \text { of sales } \\\text { Office salaries } & \$ 75,000 / \text { month } \\\text { Depreciation } & \$ 50,000 \text { month } \\\text { Interest } & 15 \% \text { annully on a } \$ 250,000 \text { note }\\&\text { payable }\\\text { Tax rate }&40\%\end{array}$
Prepare a budgeted income statement for this first quarter.