Beech's managers have made the following additional assumptions and estimates: 1. Estimated soles for July. Augurt, Septembet, and October wil be $340,000,$360,000,$350,000, and $370,000, respectively. 2 All sales are on credit and ali credit sales are collected. Each month's credit sales are collected 35% in the month of sale and 65% in the month following the sale. All of the accounts recelyable at June 30 will be collected in July. 3. Each month's ending inventory must equal 25% of the cost of next month's sales. The cost of goods sold is 75% of sales, The company pays for 40% of its merchandise purchases in the month of the purchase and the remaining 60% in the month following the purchase. All of the accounts payable at June 30 will be poid in July 4. Monthly selling and administrative expenses are always $44,000. Each month $6.000 of this total amount is depreciation expense and the remaining $38,000 relates to expenses that are poid in the month they are incurred 5 The company does not plan to borrow money or poy or declare dividends during the quarter ended September 30 . The company does not plan to issue any common stock or repurchase its owi stock during the quarter ended September 30 Required: I. Prepare a schedule of expected cash collections for July. August and Septembet 2.a. Prepare a merchandise purchases budget for Jaly, August, ond September Also compute total merchandise purchases tor the quarter ended September 30. 2b. Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September 3. Prepare on income statement that computes net operaving income for the quarter ended September 30 4 Prepare a balance street as of September 30 Chapter 8 HW\#17 6 Pert 1 of 2 25 points Required information [The following information applies to the questions displayed below.] Beech Corporation is a merchandising company that is preparing a master budget for the third quarter of the calendar year. The company's balance sheet as of June 30 th is shown below. Beech's managers have made the following additional assumptions and estimates