Exercise 9-4A (Algo) Income statement for internal use LO 9-1 Fanning Company has provided the following Year 2 data. $514,000 196,000 46,000 3,200 15,600 23,600 1,800 730 Budget Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense Variances Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense 8,300 U 4,800 F 1,700 U 1,300 U 260 F 440 F 160 U 150 F Required a. & b. Prepare in good form a budgeted and actual income statement for internal use. Separate operating income from net income in the statements. Actual FANNING COMPANY Internal Income Statement for Year 2 Budget Sales Variable expenses: Product costs Selling expenses Other expenses 1 Contribution margin Fixed expenses: Product costs Selling expenses Other expenses Operating income (loss) Interest expense Net income (loss)