a. All components of Master Budget are as prepared below: 1a Klandon Company Sales Budget For the quarter ended June 30 Month Particulars April May June Total Budgeted Unit sales 20,000 50,000 30,000 1,00,000 Sale Price 10 10 10 10 Budgeted sales 2,00,000 5,00,000 3,00,000 10,00,000 1b. Klandon Company Schedule of expected Cash collections For the quarter ended June 30 Month Particulars April May June Total Beginning Accounts Receivable March sales 30,000 30,000 April Credit Sales 1,40,000 50,000 20,000 2,10,000 May Credit Sales 3,50,000 1,25,000 4,75,000 June Credit sales 2,10,000 2,10,000 Total collections 1,70,000 4,00,000 3,55,000 9,25,000 1c. Klandon Company Production Budget For the quarter ended June 30 Month Particulars April May June Total Budgeted Unit Sales 20,000 50,000 30,000 1,00,000 Add: Desired Ending merchandise inventory 10,000 6,000 5,000 5,000 Total needs 30,000 56,000 35,000 1,05,000 Less: beginning merchandise inventory 4,000 10,000 6,000 4,000 Planned production 26,000 46,000 29,000 1,01,000 3. Raw material Budget Klandon Company Raw Material Purchase Budget For the quarter ended June 30,2015 Month Particulars April May June Total Planned production units (a) 26,000 46,000 29,000 1,01,000 *Direct Material required per unit (b) 5.0 5.0 5.0 5.0 Direct Material Required for production (c ) 1,30,000 2,30,000 1,45,000 5,05,000 Budgeted ending Direct Material (d) 23,000 14,500 11,500 11,500 Beginning Direct Material (e ) 13,000 23,000 14,500 13,000 Budgeted direct material purchase f= c+d-e 1,40,000 2,21,500 1,42,000 5,03,500 Cost per pound (g) $0.4 $0.4 $0.4 $0.4 BudgetedDM purchases $56,000 $88,600 $56,800 2,01,400 Klandon Company Schedule of expected Cash payments For the quarter ended June 30 Month Particulars April May June Total Beginning Accounts Payable (a) $12,000 $12,000 April Purchases (b) $28,000 $28,000 $56,000 May Purchases (c ) $44,300 $44,300 $88,600 June Purchases (d) $28,400 $28,400 Total payments (a+b+c+d) $40,000 $72,300 $72,700 $1,85,000 4. Direct labour Budget Klandon Company Direct Labour Budget For the quarter ended June 30,2015 Month Particulars April May June Total Planned production units (a) 26,000 46,000 29,000 1,01,000 *Direct labour required per unit (b) 0.3 0.3 0.3 0.3 Budgeted Direct labour hours 6,500 11,500 7,250 25,250 Cost per direct labour hour 10 10 10 10 Budgeted Direct labour Cost $65,000 $1,15,000 $72,500 $2,52,500

(a)	Prepare all components of Klandon's master budget for the second quarter.

(b)	Prepare a pro-forma income statement for the second quarter.

(c)	Prepare a pro-forma balance sheet as of June 30.