3 100 point The management of Zigby Manufacturing prepared the following balance sheet for March 31 ZIGAY MANUFACTURING Balance Sheet March 31 Assets Liabilities and Equity Cash $ 58,000 Liabilities Accounts receivable 440,370 Accounts payable Raw materials inventory 91,300 Loan payable Finished goods inventory 393,304 Long-tern note payable Equipent $636,000 Equity LASSE Accumulated depreciation 168,000 468,000 Connon stock Retained earnings Total assets 31,450,974 Total liabilities and equity To prepare a master budget for April, May, and June, management gathers the following information 5 206,400 30,000 500,000 $ 736,400 Book 353,000 361,574 714.374 $ 1,450,974 References a. Sales for March total 23,300 units. Budgeted sales in units follow. April, 23,300: May, 17000: June, 21,900; and July, 23,300. The product's selling price is $2700 per unit and its total product cost is $21.10 per unit b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials Inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials c. Company polley calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales The March 31 finished goods inventory is 18,640 units d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour e. The predetermined variable overhead rate is $450 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item t. Sales commissions of 10% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800 9. Monthly general and administrative expenses include $30,000 for administrative stories and 0.8% monthly interest on the long term note payable n. The company budgets 30% of sales to be for cash and the romaining 70% on credit. Credit sales are collected in full in the month following the sale no credit sales are collected in the month of Sale) All yow materials purchases are on credit, and accounts payable are solely tied to raw materials purchases, Raw materials purchases are fully paid in the next month (none are paid in the month of purchase) 1. The minimum ending cash balance for all months is $58,000. W necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28,000 are budgeted to be declared and paid in May. 1. No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 35% in the quarter and budgeted to be paid in the third calendar quartet m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget 2. Production budget 3. Direct materials budget 4. Direct labor budget 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Scbedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget 11. Budgeted income statement for entire second quarter (not monthly) 12. Budgeted balance sheet at June 30, book a rences Complete this question by entering your answers in the tabs below. Req1 Reg 2 Req3 Reg4 Reg 5 Reg 6 Req? Reg 8 to 10 Reg 11 Reg 12 Sales budget ZIGBY MANUFACTURING Sales Budgets April May June Budgeted sales units Selling price per unit Total budgeted sales Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget 2. Production budget 3. Direct materials budget. 4. Direct labor budget 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials 10. Cash budget 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Reg 1 Req2 Reg 3 Reg4 Req 5 Req 6 Reg 7 Reg 8 to 10 Req 11 Req 12 Production budget. ZIGBY MANUFACTURING Production Budget April May June Total Budgeted sales units Next period budgeted sales units Ratio of inventory to future sales Desired ending inventory units Total required units 17.000 80% 21,900 80% 23,300 80% Units to produce 1. Sales budget 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. ncos Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3 Reg 4 Regs Reg 6 Reg 7 Reg 8 to 10 Reg 11 Reg 12 Direct materials budget. (Round per unit values to 2 decimal places.) ZIGBY MANUFACTURING Direct Materials Budget April May June Units to produce Materials needed for production (pounds) Total materials required (pounds) Materials to purchase (pounds) Materials cost per pound Cost of direct materials purchases 1. Sales budget 2. Production budget. 3. Direct materials budget 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts, 9. Schedule of cash payments for direct materials. 10. Cash budget 11. Budgeted income statement for entire second quarter (not monthly) 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req3 Reg 4 Reg 5 Reg 6 Reg 7 Reg 8 to 10 Reg 11 Reg 12 Direct labor budget. (Round per unit values to 2 decimal places.) ZIGBY MANUFACTURING Direct Labor Budget April May Units to produce June Total Direct labor hours needed Cost of direct labor 1. Sales budget 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3 Reg 4 Reg 5 Reg 6 Reg 7 Reg 8 to 10 Reg 11 Reg 12 Total Factory overhead budget. (Round variable overhead rate values to 2 decimal places.) ZIGBY MANUFACTURING Factory Overhead Budget April May June Direct labor hours needed Variable overhead rate per direct labor hour Budgeted variable overhead Budgeted fixed overhead Budgeted total factory overhead 1. Sales budget 2. Production budget. 3. Direct materials budget 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3 Reg 4 Reg 5 Reg 6 BER Reg 7 Req 8 to 10 Reg 11 Reg 12 Selling expense budget. ZIGBY MANUFACTURING Selling Expense Budget April May June Budgeted sales Sales commissions Prepare the following budgets for the months of April, May, and June: 1. Sales budget 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials 10. Cash budget 11. Budgeted income statement for entire second quarter (not monthly), 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Req1 Reg 2 Req3 Reg 4 Reg 5 Reg 6 Req 7 Req 8 to 10 Reg 11 Reg 12 General and administrative expense budget. ZIGBY MANUFACTURING General and Administrative Expense Budget April May June Total general and administrative expenses 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. (Negative balances and Loan repayment amounts (if any) should be indicated with minus sign.) ZIBGY MANUFACTURING Schedule of Cash Receipts April $ 629,100 $ June May 459,000 $ 591,300 Sales Cash receipts from Cash sales Collections of prior period sales Total cash receipts 231,100 Schedule of Cash Payments for Direct Materials April Materials purchases $ 195,900 $ 219.700 $ Cash payments for Current period purchases Prior period purchases Total cash payments Cash Budget April May June Beginning cash balance Total cash available Less: Cash payments for: Cash Budget April May June Beginning cash balance is Total cash available Less: Cash payments for eBook ferences Total cash payments Preliminary cash balance Ending cash balance Loan balance April May June Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month $ 0 Reg 1 Reg 2 Req3 Reg 4 Reg 5 Req6 Reg 7 Reg 8 to 10 Reg Budgeted balance sheet at June 30. (Round your final answers to the nearest whole dollar.) ZIGBY MANUFACTURING Budgeted Balance Sheet June 30 Assets DS Total assets Liabilities and Equity Liabilities Equity Total Liabilities and Equity