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Unformatted text preview: budgets. For example, to find the cost of goods sold, it is first necessary to determine the total unit cost of producing one Kitchen-Mate, as follows. Illustration 20-12 Computation of total unit cost Hayes Company then determines cost of goods sold by multiplying the units sold by the unit cost. Its budgeted cost of goods sold is $660,000 (15,000 $44). All data for the income statement come from the individual operating budgets except the following: (1) interest expense is expected to be $100, and (2) income taxes are estimated to be $12,000. Illustration 20-13 shows the budgeted income statement. Illustration 20-13 Budgeted income statement...
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This note was uploaded on 11/08/2011 for the course ACCOUNTING ac 202 taught by Professor - during the Fall '11 term at Montgomery.
- Fall '11
- Income Statement