Barrieland Merchandising Firm Is Developing Its Budgets for 2016

question 2

Essay

Barrieland Merchandising Firm is developing its budgets for 2016.The 2015 income statement is as follows:

Selling prices will increase by 10 percent and sales volume in units will decrease by 5 percent.The cost of goods sold as a percent of sales will increase to 62 percent.Other than amortization,all operating costs are variable.
Required:
Prepare a budgeted income statement for 2016.

---

Definitions:

HR Planning Software

Digital tools designed to assist in the process of recruiting, tracking, and managing employees, facilitating various human resources tasks.

Forecasting Overhead

The process of estimating future overhead costs of a business, which are not directly tied to a specific business activity but are necessary for the business to operate.

Staffing Requirements

The specific needs a company has for hiring employees, including the number and type of workers needed to fulfill business objectives.

Service Delivery Model

A framework that defines the way services are delivered to clients or customers, including the processes, roles, and technologies involved.