Bombs Away Video Games Corporation has forecasted the following monthly sales: January February March $ 185,888 98,000 July August $ 50,000 50,000 30,000 September 50,000 April 30,000 October 90,000 May June 25,000 November 110,000 128,000 40,000 December Total annual sales - $816,088 Bombs Away Video Games sells the popular Strafe and Capture video game. It sells for $5 per unit and costs $2 per unit to produce. A level production policy is followed. Each month's production is equal to annual sales (in units) divided by 12 Of each month's sales, 20 percent are for cash and 80 percent are on account. All accounts receivable are collected in the month after the sale is made a. Construct a monthly production and Inventory schedule in units. Beginning Inventory in January is 30,000 units. Note: Input all your answers as positive numbers. Answer is complete and correct. Bombs Away Video Games Corporation Production and Inventory Schedule In Units Beginning Inventory Production |= Ending Inventory January 30,000 13,600 21,000 22.600 February 22,600 13,600 19,600 16.600 March 16,600 13,600 6,000 24,200 Apri 24,200 13,600 6,000 31.800 May 31,800 13,600 5,000 40,400 June 40,400 13,500 8.000 46.000 July 46,000 13,600 10,000 49,600 August 49,600 13,600 10,000 53,200 September 53,200 13,600 12.000 54,800 October 54,800 13,600 18,000 50,400 November 50,400 13,600 22,000 42,000 December 42,000 13,600 25,600 30,000 b. Prepare a monthly schedule of cash receipts. Sales in December before the planning year are $100,000. Answer is complete and correct. Bombs Away Video Games Corporation Sales January $ Cash Receipts Schedule February March April May June 105,000 $ 98,000 $ 30,000 $ 30,000 $ 25,000 $ 40,000 Cash receipts: Cash sales Is Prior month's credit sales 21,000 $ 80,000 19,600 $ 84,000 6,000 $ 78,400 6,000 $ 24,000 5,000 $ 24,000 8.000 20,000 Total cash receipts $ 101,000 103,600 84,400 $ 30,000 29,000 28,000 Answer is complete and correct. Bombs Away Video Games Corporation Cash Receipts Schedule July August September October November December Sales 50,000 $ 50,000 $ 60,000 $ 90,000 $ 110,000 $ 128,000 Cash receipts: Cash sales S 10,000 s Prior month's credit sales 32,000 10,000 $ 40,000 Total cash receipts $ 42,000 S 50,000 $ 12,000 s 40,000 52,000 5 18,000 $ 48.000 66,000 $ 22,000 $ 72,000 94,000 S 25.600 88,000 113,600 c. Prepare a cash payments schedule for January through December. The production costs of $2 per unit are paid for in the month In which they occur. Other cash payments, besides those for production costs, are $50,000 per month. Answer is complete and correct. Bombs Away Video Games Corporation Cash Payments Schedule January February March April May June Production cost Other cash payments Total cash payments $ 27,200 50,000 77,200 $ $ 27,200 $ 50.000 27,200 $ 50,000 27,200 $ 50,000 27,200 $ 50.000 27,200 50,000 77,200 $ 77,200 77,200 77,200 $ 77,200 Answer is complete and correct. Bombs Away Video Games Corporation Cash Payments Schedule July August September October November December Production cost S Other cash payments 27,200 50,000 $ 27,200 $ 27,200 $ 50,000 50,000 Total cash payments S 77,200 S 77,200 27,200 $ 27,200 $ 27,200 50,000 50,000 50,000 77,200 S 77,200 $ 77,200 S 77,200 Prepare a monthly cash budget for January through December using the cash receipts schedule from part band the cash payments schedule from part c. The beginning cash balance is $5,000, which is also the minimum desired. Note: Negative amounts should be indicated by a minus sign. Leave no cells blank be certain to enter '0' wherever required. Beginning cash Not cash flow Cumulative cash balance Monthly loan or (repayment) Ending cash balance Cumulative loan balance Beginning cash Not cash flow Cumulative cash balance Monthly loan or (repayment) Ending cash balance Cumulative loan balance Answer is not complete. Bombs Away Video Games Corporation Cach Budget January February March April May June $ 5,000 $ 28,800 $ 55,200 $ 62,400 $ 15,200 July Bombs Away Video Games Corporation Cash Budget August September October November December