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pduvin pduvin
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6 years ago
Barrieland Merchandising Firm is developing its budgets for 2016. The 2015 income statement is as follows:

Sales (100,000 units)   $250,000
Less: Cost of goods sold   150,000
Gross profit    $100,000
Operating expenses (includes
$10,000 of depreciation)   60,000
Net income   $40,000

Selling prices will increase by 10 percent and sales volume in units will decrease by 5 percent. The cost of goods sold as a percent of sales will increase to 62 percent. Other than amortization, all operating costs are variable.

Required:
Prepare a budgeted income statement for 2016.
Textbook 
Cost Accounting: A Managerial Emphasis, Canadian Edition

Cost Accounting: A Managerial Emphasis, Canadian Edition


Edition: 7th
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MunihasenMunihasen
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pduvin Author
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6 years ago
this is exactly what I needed
kevin12323h
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Yesterday
Just got PERFECT on my quiz
Butwhy
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Thanks
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