Bingington Corporation is using the Kaizen approach to budgeting for 2011.The budgeted income statement for the month ended January 31,2011 is as follows:

Under the Kaizen approach,cost of goods sold and variable operating expenses are budgeted to decline by 2% per month.
Required:
Prepare a Kaizen-based budgeted income statement for the month ended February 28,2011.Assume sales are constant each month.

Question

Bingington Corporation is using the Kaizen approach to budgeting for 2011.The budgeted income statement for the month ended January 31,2011 is as follows:

Under the Kaizen approach,cost of goods sold and variable operating expenses are budgeted to decline by 2% per month.
Required:
Prepare a Kaizen-based budgeted income statement for the month ended February 28,2011.Assume sales are constant each month.

Quizplus · Accepted Answer

The Answer of Bingington Corporation is using the Kaizen approach to budgeting for 2011.The budgeted income statement for the month ended January 31,2011 is as follows:

Under the Kaizen approach,cost of goods sold and variable operating expenses are budgeted to decline by 2% per month.
Required:
Prepare a Kaizen-based budgeted income statement for the month ended February 28,2011.Assume sales are constant each month.

Bingington Corporation Is Using the Kaizen Approach to Budgeting for 2011.The