BANTR MANUFACTURING

Estimated Balance Sheet

March $31,2022$

ASSETS

Cash..........................................................

$ $40,000$

Accounts receivable................................

$342,248$

Raw materials inventory..........................

Finished goods inventory........................

$98,500$

$325,540$

Total current assets.................................

$806,288$

Equipment................................................

$$600,000$

Less accumulated depreciation..............

$150,000$

$450,000$

Total assets..............................................

$$1,256,288$

LIABILITIES AND EQUITY

Accounts payable....................................

$ $200,500$

Short$-$term notes payable....................................

$12,000$

Taxes payable..........................................

$0$

Total current liabilities.............................

$212\mathrm{.}500$

Long$-$term note payable...........................

Common stock.........................................

$$335,000$

$500,000$

Retained earnings....................................

$208,788$

Total stockholders$$ equity.......................

$543,788$

Total liabilities and equity........................

$$1,256,288$

To prepare a master budget for April, May, and June of $2022,$ management gathers the following information:

Sales for March total $20,500$ units. Forecasted sales in units are as follows: April, $20,500$; May, $19,500$; June, $20,000$; and July, $20,500.$ Sales of $240,000$ units are forecasted for the entire year. The product's selling price is $$23\mathrm{.}85$ per unit and its total product cost is $$19\mathrm{.}85$ per unit

Company policy calls for a given month's ending raw materials inventory to equal $50\%$ of the next month's materials requirements. The March $31$ raw materials inventory is $4,925$ units, which complies with the policy. The expected June $30$ ending raw materials inventory is $4,000$ units. Raw materials cost $$20$ per unit. Each finished unit requires $0\mathrm{.}50$ units of raw materials.

Company policy calls for a given month's ending finished goods inventory to equal $80\%$ of the next month's expected unit sales. The March $31$ finished goods inventory is $16,400$ units, which complies with the policy.

Each finished unit requires $0\mathrm{.}50$ hours of direct labor at a rate of $$15$ per hour.

Overhead is allocated based on direct labor hours. The predetermined variable overhead rate is $$2\mathrm{.}70$ per direct labor hour. Depreciation of $$20,000$ per month is treated as fixed factory overhead.

Sales representatives' commissions are $8\%$ of sales and are paid in the month of the sales. The sales manager's monthly salary is $$3,000.$

Monthly general and administrative expenses include $$12,000$ administrative salaries and $0\mathrm{.}9\%$ monthly interest on the long$-$term note payable.

The company expects $30\%$ of sales to be for cash and the remaining $70\%$ on credit. Receivables are collected in full in the month following the sale $($none is collected in the month of the sale$).$

All raw materials purchases are on credit, and no payables arise from any other transactions. One month's raw materials purchases are fully paid in the next month.

The minimum ending cash balance for all months is $$40,000.$ If necessary, the company borrows enough cash using a short$-$term note to reach the minimum. Short$-$term notes require an interest payment of $1\%$ at each month$-$end $($before any repayment$).$ If the ending cash balance exceeds the minimum, the excess will be applied to repaying the short$-$term notes payable balance.

Dividends of $$10,000$ are to be declared and paid in May.

No cash payments for income taxes are to be made during the second calendar quarter. Income tax will be assessed at $35\%$ in the quarter and paid in the third calendar quarter.

Equipment purchases of $$130,000$ are budgeted for the last day of June.

Required

Prepare the following budgets and other financial information as required in Excel. All budgets and other financial information should be prepared for the second calendar quarter, except as otherwise noted below. Round calculations up to the nearest whole dollar, except for the amount of cash sales, which should be rounded down to the nearest whole dollar.

Sales budget.

Production budget.

Raw materials budget.

Direct labor budget.

Factory overhead budget.

Selling expense budget.

General and administrative expense budget.

Cash budget.

Budgeted income statement for the entire second quarter $($not for each month separately$).$

Budgeted balance sheet as of the end of the second calendar quarter.

Check Numbers$$

$(2)$ Units to produce: April, $19,700$; May, $19,900$

$(3)$ Cost of raw materials purchases, April, $$198,000$

$(5)$ Total overhead cost, May, $$46,865$

$(8)$ Ending cash balance: April, $$83,346$; May, $$124,295$

$(10)$ Budgeted total assets, June $30$: $$1,299,440$

Please format it as if it was a excel document.