Exercise $8-1$A $($Algo$)$ Preparing master and flexible budgets LO $8-1$

Jordan Manufacturing Company established the following standard price and cost data.

Sales price

Variable manufacturing cost

Fixed manufacturing cost

$$8\mathrm{.}10$ per unit

$$3\mathrm{.}80$ per unit

$$3,000$ total

$$1,000$ total

Fixed selling and administrative cost

Jordan planned to produce and sell $2,600$ units. Actual production and sales amounted to $2,900$ units.

Required

a$.$ Prepare the pro forma income statement in contribution format that would appear in a master budget.

b$.$ Prepare the pro forma income statement in contribution format that would appear in a flexible budget.

Complete this question by entering your answers in the tabs below.

Required A

Prepare the pro forma income statement in contribution format that would appear in a master budget.

JORDAN MANUFACTURING COMPANY

Pro Forma Income Statement