Seattle Cat is the wholesale distributor of a small recreational catamaran sailboat. Management has

Seattle Cat is the wholesale distributor of a small recreational catamaran sailboat. Management has prepared the following summary data to use in its annual budgeting process:

Budgeted unit sales	380
Selling price per unit	$ 1,850
Cost per unit	$ 1,425
Variable selling and administrative expenses (per unit)	$ 85
Fixed selling and administrative expenses (per year)	$ 105,000
Interest expense for the year	$ 11,000

Required:

Prepare the company’s budgeted income statement using an absorption income statement format shown below. (Input all amounts as positive values. Omit the "$" sign in your response.)

Seattle Cat Budgeted Income Statement
Sales	$ 703,000
Cost of goods sold	541,500
Gross margin	161,500
Selling and administrative expenses	137,300
Net operating income (loss)	24,200
Interest expense	11,000
Net income (loss)	$ 13,200