Exercise $23\mathrm{.}10($Algo$)$ Preparing a Flexible Budget $($LO$23-6)$

Outdoor Outfitters has created a flexible budget for the $70,000-$unit and the $80,000-$unit levels of activity. Assume that the cost of goods sold and variable operating expenses vary directly with sales and that income taxes remain at $30$ percent of operating income.

Required:

Complete Outdoor Outfitters's flexible budget at the $101,000-$unit level of activity.

$\backslash$table$[[,70,000$ Units,$80,000$ Units,$101,000$ Units$],[$Sales$,,1,400,000,$$$,1,600,000,,],[$Cost of goods sold,,$840,000,,960,000,,],[$Gross profit on sales,$$,560,000,$$$,640,000,$$$,0],[$Operating expenses $($$$90,000$ fixed$),,370,000,,410,000,,],[$Operating income,$$,190,000,$$$,230,000,$$$,0],[$Income taxes $(30\%$ of operating income$),,57,000,,69,000,,],[$Net income,$$,133,000,$$$,161,000,$$$,0]]$