Assume the following data for Animal Gear Company (Click the icon to view the assumptions.) Click the icon to view budget information.) Requirements 1. Prepare a cash budget for April for Animal Gear. 2. Why do Animal Gear's managers prepare a cash budget in addition to the revenue, expenses, and operating income budget? Requirement 1. Prepare a cash budget for April for Animal Gear Begin the cash budget by calculating the cash available, then total disbursements, and finally the effects of financing and the ending cash balance. (Round your answers to the nearest whole dollar. Enter"0" for repayment of loan if excess cash does not exceed $7,000 at the end of April.) Cash Budget April 30 Cash balance, beginning Add receipts Animal Gear (AG) does not make any sales on credit. AG sells only to the public and accepts cash and credit cards; 90% of its sales are to customers using credit cards, for which AG gets the cash right away, less a 2% transaction fee. Purchases of materials are on account. AG pays for half the purchases in the period of the purchase and the other half in the following period. At the end of March, AG owes suppliers $8,000. During April they plan to purchase direct materials worth $20,024. AG plans to replace a machine in April at a net cash cost of $13,000. Labor, other manufacturing costs, and nonmanufacturing costs are paid in cash in the month incurred except of course depreciation, which is not a cash flow. Depreciation is $25,000 of the manufacturing cost and $10,000 of the nonmanufacturing (fixed) cost for April. AG currently has a $2,000 loan at an annual interest rate of 12%. The interest is paid at the end of each month. If AG has more than $7,000 cash at the end of April it will pay back the loan. AG owes $5,000 in income taxes that need to be remitted in April. AG has cash of $5.900 on hand at the end of March 225 310 Revenue Budget For the Month of April Units Selling price Total Revenues Cat-allac 530 $ 205 5 108,650 Dog-eriffic 69.750 Total 5 178,400 Manufacturing Overhead Budget For the Month of April Machine setup costs 7.875 Processing costs 101.540 Inspection costs 417 9:26 PM @ 45% .: Sprint Homework 'Is that not the manufacturing costs in the bottom of the photo? TOVAT Manufacturing Overhead Budget For the Month of April Machine setup costs 7,875 Processing costs 101,540 417 Inspection costs 109,832 Total Direct Manufacturing Labor Costs Budget For the Month of April Output units DMLH Total Hourly produced per unit Hours Wage Rate 550 S 3 1,650 $ 10 $ 216 5 . 1,080 10 $ Cat-allac Total 16,500 10,800 27,300 Dog-eriffic Total Nonmanufacturing Costs Budget For the Month of April Salaries $ 16,800 Other fixed costs 16,000 Sales commissions 1.784 $ 34.584 Total nonmanufacturing costs