In a budgeted income statement, _________ is subtracted from sales to arrive at gross margin. cost of goods sold interest expense selling and administrative expense depreciation expense Knowledge Check 02 Smarton Company is in the process of preparing its budgeted income statement. It has determined its estimated gross margin to be $90,000. The company also expects to incur selling and administrative expenses of $30,000 and interest expense of $12,000. What is Smarton's budgeted net income?
$18,000
$30,000
$48,000
$60,000

Respuesta :

Answer:

$48,000

Explanation:

The computation of the  budgeted net income is shown below:

= Estimated gross margin - incurred selling and administrative expenses - interest expense

= $90,000 - $30,000 - $12,000

= $48,000

In order to find out the budgeted net income  we simply deducted the total expenses incurred from the estimated gross margin