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Fortune, Inc., is preparing its master budget for the first quarter. The company sells a...

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Fortune, Inc., is preparing its master budget for the first quarter. The company sells a single product at a price of $25 per unit. Sales (in units) are forecasted at 41,000 for January, 61,000 for February, and 51,000 for March. Cost of goods sold is $12 per unit. Other expense information for the first quarter follows. Commissions Rent Advertising Office salaries Depreciation Interest Tax rate 8% of sales dollars $ 20,000 per month 14% of sales dollars $77,000 per month $ 55,000 per month 12% annually on a $240,000 note payable 40% Prepare a budgeted income statement for this first quarter. (Round your final answers to the nearest whole dollar.) X Answer is not complete. $3,825,000 1,836,000 1,989,000 FORTUNE, INC. Budgeted Income Statement For Quarter Ended March 31 Sales Cost of goods sold Gross profit Operating expenses Commissions expense $ Rent expense Advertising expense Depreciation expense Interest expense 306,000 60,000 535,500 165,000 7,200 Total operating expenses Income before taxes Income tax expense Net income 1.073,700 915,300 366,120 $ 549,180

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