4 Paragraph Styles Qui-Got Stuff is preparing its budget for the co year. Below is information about the 2nd, which is not yet finished. The budgeted income statement for the 2nd quarter is: Qui Got Stuff, Inc. Budgeted Income Statement For the 2nd Quarter Ended 200x quarter, Sales Cost of goods sold Gross profit April May June $22,000 $25,000 $28,000 11,000 13,000 16,000 11,000 12,000 12,000 Less: Selling expenses 2,300 3,000 3,400 Administrative expenses 2,600 3,000 3,200 Total 4,900 6,000 6,600 Net income $6,100 $6,000 $5,400 O Qui-Got Stuff has also completed the purchases budget, as follows: Qui-Got Stuff, Inc. Purchases Budget For the 2nd Quarter Ended 200x April May June Budgeted cost of goods sold $11,000 $13,000 $16,000 Plus: desired ending inventory 3,250 4,000 5,250 Total inventory needs 14,250 17,000 21,250 Less: beginning inventory Budreted purchases (2.500) (3,250) (4,000) $11.750 $13.750 $17.250 T AEEE 21 4T A Paragraph AaBbCcL AnBbCcl A. AaBt AaBbCcDd AaBbCc Emphasis 1 Heading 1 1 Heading 2 1 No Spac. 1 Normal Styles Qui-Got Stuff has also completed the purchases budget, as follows: Qui-Got Stuff, Inc. Purchases Budget For the 2nd Quarter Ended 200x April May June Budgeted cost of goods sold $11,000 $13,000 $16,000 Plus: desired ending inventory 3,250 4,000 5,250 Total inventory needs 14,250 17,000 21,250 Less: beginning inventory (2,500) (3,250) (4,000) Budgeted purchases $11,750 $ 13,750 $17,250 The company needs to prepare its budgeted cash receipts, budgeted cash payments for purchases, and monthly cash budget schedules for April, May and June. Your nation solutions must be posted on Blackboard by Friday, December 18 11:59pm Exams received after that date will he subject to a 5-point penalty for each day or part of a day the exam is received after the due date Lastly, this is to be completed by the registered student only Prof Jones reserves the right to refuse acceptance of a paper shot appears to be improperly completed IT C Paragraph AaBbCcL AaBbCel A. AaB Emphasis Heading 1 1 Heading 2 AaBbCcDd Aa 1 No Spac 1m The following additional information is available: Budgeted Income statement for July 200x: July Sales Cost of goods sold $ 32,000 21,000 Gross profit 11,000 Less: Selling expenses 4,200 Administrative expenses 3,600 Total 7,800 Net income $3,200 Styles 1. 80% of monthly sales are on account (i.e., for credit). The remainder is for cash. 2. Credit sales are collected as follows: 10% in the month of credit sales 60% in the month following the credit sales The remainder in the 2nd month following the credit sales 3. Total budgeted sales for February are $15,000. 4. Total budgeted sales for March are $16,000. 5. Qui-Got assumes it would pay for budgeted purchases 65% in the month of purchase and 35% in the month following the purchase. 6. Budgeted purchases for March are $12,000. 7. For the months of April and May, the company must make a $5,000 payment for an outstanding bank note. 8. Qui-Got must maintain a cash balance of at least $4,000 at the end of each month. 9. The budgeted cash balance at April 1 is $4,500. II A Total Paragraph Net income Cd A. AaB. ABbCcDd ABC Al Emphasis 1 Heading 1 1 Heading 2 1 No Spac. 1 Normal St 7,800 $3,200 Styles 1. 80% of monthly sales are on account (i.e., for credit). The remainder is for cash. 2. Credit sales are collected as follows: 10% in the month of credit sales 60% in the month following the credit sales The remainder in the 2nd month following the credit sales 3. Total budgeted sales for February are $15,000. 4. Total budgeted sales for March are $16,000. 5. Qui-Got assumes it would pay for budgeted purchases 65% in the month of purchase and 35% in the month following the purchase. 6. Budgeted purchases for March are $12,000. 7. For the months of April and May, the company must make a $5,000 payment for an outstanding bank note. 8. Qui-Got must maintain a cash balance of at least $4,000 at the end of each month. 9. The budgeted cash balance at April 1 is $4,500. 10. When ending cash balances are less than $4,000, they make a short-term borrowing from their local bank. However, all borrowings must be made in multiples of $100. These short- term loans are repaid at the end of the year, which is December 31" Required: a. Prepare a monthly budgeted operating cash receipts schedule for the 2nd quarter, Le. April, May, and June. b. Prepare a monthly budgeted cash disbursements schedule for purchases for April, May, and June. c. Prepare a monthly total cash budget for April, May, and June. In that schedule, show borrowings from the company's local bank as needed to maintain the minimum cash balance. (Note: In your schedules show all three months, i.e. in 3 columns, rather than preparing separate schedules for each month.) Tour exovation solution must be posted on Blackboard by Friday, December 18 11:59pmed her d ppty for ach day or part of a day the exam is received after the date