Please fast answering please and Do Not Give Solution In Image ? And please explain proper steps by Step ? Cornwall Mobile Detailing (CMD) is a service that washes and details a customer's vehicle at their home or office. It operates on amembership basis. Members pay $200 dues per month, which entitle them to a complete wash and detail service monthly. Membersmay also order additional car washes during the month at a fee of $75. Additional washes are common in both summer and wintermonths. The number of members also varies with the season. The number of members and the average number of additional washesby members for the months of interest follow:JanuaryFebruaryMarchAprilMayJuneMembers3604209801,1201,1501,300Service costsAdditionalWashes (Averageper Member):0.81.10.7Cornwall allows members to pay for dues on credit. Cornwall's experience is that 40 percent of its members pay cash for the dues, 50percent of the members pay the dues for a month in the next month, 5 percent in the second month after. The remainder isuncollectible. Additional washes are payable in cash.Cornwall estimates that the number of members in July should increase 20 percent above June levels, and the number of additionalwashes per member should increase by an estimated 12.5 percent. The following information is available for costs incurred in June. Allcosts except depreciation are paid in cash.Variable costsEquipment maintenanceDepreciation (fixed)Total0.60.91.4Marketing and administrative costsMarketing (variable)Administrative (fixed)TotalTotal costs$ 44,00040,00075,000$ 159,000$ 32,000105,000$ 137,000$ 296,000 Variable service and marketing costs change with volume, measured by number of members. Fixed depreciation will remain the same,but fixed administrative costs will increase by 10 percent beginning July 1. Equipment maintenance is outsourced and the contract callsfor a 5 percent increase beginning July 1.Required:Prepare a budgeted income statement for July.Note: Do not round intermediate calculations.Sales revenueService costs:Answer is not complete.Cornwall Mobile DetailingBudgeted Income StatementFor the Month of JulyVariable costsEquipment maintenanceDepreciation (fixed)Total service costsMarketing and administrative:Marketing (variable)Administrative (fixed)Overhead costTotal marketing and administrative costsTotal costs3***100$$ 52,80042,00075,000496,275$ 169,800$$$$38,400115,50015,600169,500339,300156,975000

Budgeted income statement is a financial statement which shows Budgeted revenue and expenses or…

Cornwall Mobile Detailing (CMD) is a service that washes and details a customer's vehicle at their home or office. It operates on a membership basis. Members pay $200 dues per month, which entitle them to a complete wash and detail service monthly. Members may also order additional car washes during the month at a fee of $75. Additional washes are common in both summer and winter months. The number of members also varies with the season. The number of members and the average number of additional washes by members for the months of interest follow: January February March April May June Members 360 420 980 1,120 1,150 1,300 Additional Washes (Average per Member) 0.8 1.1 0.7 0.6 0.9 1.4 Cornwall allows members to pay for dues on credit. Cornwall's experience is that 40 percent of its members pay cash for the dues, 50 percent of the members pay the dues for a month in the next month, 5 percent in the second month after. The remainder is uncollectible. Additional washes are payable in cash.

Cornwall Mobile Detailing (CMD) is a service that washes and details a customer's vehicle at their home or office. It operates on a membership basis. Members pay $200 dues per month, which entitle them to a complete wash and detail service monthly. Members may also order additional car washes during the month at a fee of $75. Additional washes are common in both summer and winter months. The number of members also varies with the season. The number of members and the average number of additional washes by members for the months of interest follow: January February March April May June Members 360 420 980 1,120 1,150 1,300 Additional Washes (Average per Member) 0.8 1.1 0.7 0.6 0.9 1.4 Cornwall allows members to pay for dues on credit. Cornwall's experience is that 40 percent of its members pay cash for the dues, 50 percent of the members pay the dues for a month in the next month, 5 percent in the second month after. The remainder is uncollectible. Additional washes are payable in cash.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 4PB: Review the following transactions and prepare any necessary journal entries for Woodworking...

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Cornwall Mobile Detailing (CMD) is a service that washes and details a customer's vehicle at their home or office. It operates on a membership basis. Members pay $200 dues per month, which entitle them to a complete wash and detail service monthly. Members may also order additional car washes during the month at a fee of $75. Additional washes are common in both summer and winter months. The number of members also varies with the season. The number of members and the average number of additional washes by members for the months of interest follow: Members Additional Washes (Average per Member) January 360 0.8 February 420 1.1 March 980 0.7 April 1,120 0.6 May 1,150 0.9 June 1,300 1.4 Cornwall allows members to pay for dues on credit. Cornwall's experience is that 40 percent of its members pay cash for the dues, 50 percent of the members pay the dues for a month in the next month, 5 percent in the second month after. The remainder is uncollectible. Additional…
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