Santana Rey expects second quarter 2022 net income of Business Solutions's line of computer furniture to be the same as the firstquarter's net income (reported below) without any changes in strategy. Sales were 136 desk units (sales price of $1,250) and 76 chairs(sales price of $500).BUSINESS SOLUTIONS-Computer Furniture SegmentSegment Income Statement*For Quarter Ended March 31, 2022SalesCost of goods sold*Gross profitSelling, general, and administrative expensesSales commissions (10%)Advertising expensesGeneral and administrative expensesNet income*Reflects activity only related to the computer furniture segment.† Sales: (136 × $1,250) + (76 × $500) = $208,000.‡ Cost of goods sold: (136 × $750) + (76 × $250) = $121,000.Santana believes that sales will total 180 desks and 129 chairs for the next quarter if selling prices are reduced to $1,150 for desks and$450 for chairs and advertising expenses are increased to $14,880 for the quarter. Product costs per unit and amounts of all otherexpenses will not change.Complete this question by entering your answers in the tabs below.Required 1 Required 2$ 20,80010,60021,200Required:1. Prepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that shows theresults from implementing the proposed changes.2. Do the proposed changes increase or decrease budgeted net income for the quarter?Prepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that showsthe results from implementing the proposed changes.Santana believes that sales will total 180 desks and 129 chairs for the next quarter if selling prices are reduced to $1,150 for desks and$450 for chairs and advertising expenses are increased to $14,880 for the quarter. Product costs per unit and amounts of all otherexpenses will not change.Complete this question by entering your answers in the tabs below.Required 1 Required 2Required:1. Prepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that shows theresults from implementing the proposed changes.2. Do the proposed changes increase or decrease budgeted net income for the quarter?$ 208,000121,00087,00052,600$ 34,400SalesCost of goods soldGross profitSelling, general and administrative expensesSales commissions expenseNet incomePrepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that showsthe results from implementing the proposed changes.BUSINESS SOLUTIONS COMPUTER FURNITURE SEGMENTBudgeted Income StatementsFor Three Months Ended June 30, 2022Advertising expenseGeneral and administrative expenses$000 *DUDINESS SOLUTIONS Computer Full…ՆԱԵ segmentSegment Income Statement *For Quarter Ended March 31, 2022Sales*Cost of goods soldGross profitSelling, general, and administrative expensesSales commissions (10%)Advertising expensesGeneral and administrative expensesNet income*Reflects activity only related to the computer furniture segment.† Sales: (136 × $1,250) + (76 × $500) = $208,000.+ Cost of goods sold: (136 × $750) + (76 × $250) = $121,000.X$ 20,80010,60021,200Santana believes that sales will total 180 desks and 129 chairs for the next quarter if selling prices are reduced to $1,150 for desks and$450 for chairs and advertising expenses are increased to $14,880 for the quarter. Product costs per unit and amounts of all otherexpenses will not change.Complete this question by entering your answers in the tabs below.Required 1 Required 2$ 208,000121,00087,000Required:1. Prepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that shows theresults from implementing the proposed changes.2. Do the proposed changes increase or decrease budgeted net income for the quarter?52,600$ 34,400

Question

Santana Rey expects second quarter 2022 net income of Business Solutions's line of computer furniture to be the same as the firstquarter's net income (reported below) without any changes in strategy. Sales were 136 desk units (sales price of $1,250) and 76 chairs(sales price of $500).BUSINESS SOLUTIONS-Computer Furniture SegmentSegment Income Statement*For Quarter Ended March 31, 2022SalesCost of goods sold*Gross profitSelling, general, and administrative expensesSales commissions (10%)Advertising expensesGeneral and administrative expensesNet income*Reflects activity only related to the computer furniture segment.† Sales: (136 × $1,250) + (76 × $500) = $208,000.‡ Cost of goods sold: (136 × $750) + (76 × $250) = $121,000.Santana believes that sales will total 180 desks and 129 chairs for the next quarter if selling prices are reduced to $1,150 for desks and$450 for chairs and advertising expenses are increased to $14,880 for the quarter. Product costs per unit and amounts of all otherexpenses will not change.Complete this question by entering your answers in the tabs below.Required 1 Required 2$ 20,80010,60021,200Required:1. Prepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that shows theresults from implementing the proposed changes.2. Do the proposed changes increase or decrease budgeted net income for the quarter?Prepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that showsthe results from implementing the proposed changes.Santana believes that sales will total 180 desks and 129 chairs for the next quarter if selling prices are reduced to $1,150 for desks and$450 for chairs and advertising expenses are increased to $14,880 for the quarter. Product costs per unit and amounts of all otherexpenses will not change.Complete this question by entering your answers in the tabs below.Required 1 Required 2Required:1. Prepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that shows theresults from implementing the proposed changes.2. Do the proposed changes increase or decrease budgeted net income for the quarter?$ 208,000121,00087,00052,600$ 34,400SalesCost of goods soldGross profitSelling, general and administrative expensesSales commissions expenseNet incomePrepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that showsthe results from implementing the proposed changes.BUSINESS SOLUTIONS COMPUTER FURNITURE SEGMENTBudgeted Income StatementsFor Three Months Ended June 30, 2022Advertising expenseGeneral and administrative expenses$000 *DUDINESS SOLUTIONS Computer Full…ՆԱԵ segmentSegment Income Statement *For Quarter Ended March 31, 2022Sales*Cost of goods soldGross profitSelling, general, and administrative expensesSales commissions (10%)Advertising expensesGeneral and administrative expensesNet income*Reflects activity only related to the computer furniture segment.† Sales: (136 × $1,250) + (76 × $500) = $208,000.+ Cost of goods sold: (136 × $750) + (76 × $250) = $121,000.X$ 20,80010,60021,200Santana believes that sales will total 180 desks and 129 chairs for the next quarter if selling prices are reduced to $1,150 for desks and$450 for chairs and advertising expenses are increased to $14,880 for the quarter. Product costs per unit and amounts of all otherexpenses will not change.Complete this question by entering your answers in the tabs below.Required 1 Required 2$ 208,000121,00087,000Required:1. Prepare a budgeted income statement for the computer furniture segment for the quarter ended June 30, 2022, that shows theresults from implementing the proposed changes.2. Do the proposed changes increase or decrease budgeted net income for the quarter?52,600$ 34,400< Required 1Do the proposed changes increase or decrease budgeted net income for the quarter?Do the proposed changes increase or decrease budgeted net income for the quarter?Required 2 >

Accepted Answer

Budget :— Computation of Cost before the Commencement of any event.
Estimation of Cost before the…