Robyn’s Rocket Shop is in the midst of negotiating a loan from First National Bank. The bank has asked Robyn to prepare a budgeted income statement for the third quarter of the year (July through September). Robyn has accumulated the following data from various budgets for this purpose:
Sales forecast ............$185,000
Interest expense ........... 2,400
Selling and administrative expenses .... 74,450
Cost of goods sold .......... 56,800

Required
Prepare a budgeted income statement for Robyn’s Rocket Shop for the third quarter for presentation to First National Bank. Assume the company’s income tax rate is 30%.