Appendix 13-8 _ Finished Goods Schedule _ December 31, 20):): Finished goods units 1,800 Standard cost per unit $ 18,256 Finished goods $ 32,860,200 72,000 Standard cost per unit $ 18,256 _ Cost of goods sold $ 1,314,408,000 _ Appendix C-8 Water Play, Inc. Finished Goods Schedule December 31, 20XX Finished goods units 1,500 Standard cost per unit EA 18,256 Finished goods $ 27,383,500 Units sold 72,000 Standard cost per unit $ 18,256 Cost of goods sold $ 1,314,408,000Appendix B-9 Water Play, Inc. Cash Budget December 31, 20XX Q1 Q2 Q3 Q4 Year Beginning cash balance 25,000,000 25,000,000 102,198,000 179,396,000 25,000,000 Cash collections 361,800,000 537,300,000 537,300,000 537,300,000 1,973,700,000 Cash available 386,800,000 562,300,000 639,498,000 716,696,000 1,998,700,000 Disbursements: Material purchases 85,050,000 135,000,000 135,000,000 135,000,000 490,050,000 Direct labor 52,002,000 52,002,000 52,002,000 52,002,000 208,008,000 Manufacturing overhead 136,250,000 136,250,000 136,250,000 136,250,000 545,000,000 Selling and administrative 133,100,000 133,100,000 133,100,000 133,100,000 532,400,000 Total disbursements 406,402,000 456,352,000 456,352,000 456,352,000 1,775,458,000 Excess or (Deficiency) (19,602,000) 105,948,000 183,146,000 260,344,000 223,242,000 Financing section: Borrowings 48,352,000 48,352,000 Repayments (48,352,000) (48,352,000) Interest on long-term note (3,750,000) (3,750,000) (3,750,000) (3,750,000) (15,000,000) Interest on short-term borrowing (4,835,200) (4,835,200) Financing total 44,602,000 (3, 750,000) (3,750,000) (56,937,200) (19,835,200) Ending cash balance 25,000,000 102,198,000 179,396,000 203,406,800 203,406,800Appendix CQ Beginning cash balance Cash collections Cash available Disbursements: Material purchases Direct labor Manufacturing overhead Selling and administrative Total disbursements Excess or (Deciency) Financing section: Borrowings Repayments Interest on long-ten'n note Interest on short-term borrowing Financing total Ending cash balance Water Play, Inc Cash Budget December 31, ZXX Q1 25,000,000 301,500,000 326,500,000 79,616,250 46,224,000 126,666,667 125,900,000 378,406,917 (51,906,917) 80,656,917 (3,750,000) 76,906,917 25,000,000 Q2 25,000,000 648,750,000 673,750,000 160,017,000 70,780,500 167,395,833 149,900,000 548,093,333 125,656,667 (3,750,000) (3,750,000) 121,906,667 Q3 121,906,667 645,750,000 767,656,667 153,976,500 55,468,800 142,000,000 137,900,000 489,345,300 278,311,367 (3,750,000) (3,750,000) 274,561,367 Q4 274,561,367 436,200,000 710,761,367 111,231,000 35,534,700 108,937,500 118,700,000 374,403,200 336,358,167 (80,656,917) (3,750,000) (8,065,692) (92,472,608) 243,885,558 Year 25,000,000 2,032,200,000 2,057,200,000 504,840,750 208,008,000 545,000,000 532,400,000 1,790,248,750 266,951,250 80,656,917 (80,656,917) (15,000,000) (8,065,692) (23,065,692) 243,885,558 Water Play, Inc. Part 2-Constant Demand and Seasonal Budgets 1. The company has decided they needed to create a full set of budget schedules including financial statements for the first year of operations based on an assumption of constant demand of 18,000 quarterly and 72,000 for the first year (appendices B-1 through B-11). A second set of budget schedules and financial statements based on expected unit sales of 15,000 in quarter one, 25,000 in quarter two, 20,000 in quarter three, and finally 12,000 in quarter four for a total of 72,000 for the year based on a seasonal demand pattern (appendices C-1 through C-11). We expect the same quarterly sales patterns in year two meaning 18,000 units per quarter under constant demand and 15,000 units in quarter one under seasonal demand. Compare the constant demand to the seasonal demand budget. Explain the major differences in each of the budget schedules, cash budget and financial statements on both a quarterly and annual basis. Remember the beginning and ending raw material and finished goods inventory units will cause differences in the budgets but also focus on the differences between accrual and cash timing figures

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