Budgeting: Applying Excel Data Budgeted unit sales Selling price per unit Accounts receivable, beginning balance Sales collected in the quarter sales are made Sales collected in the quarter after sales are made Desired ending finished goods inventory is Finished goods inventory, beginning Raw materials required to produce one unit Desired ending inventory of raw materials is Raw materials inventory, beginning Raw material costs Raw materials purchases are paid and Accounts payable for raw materials, beginning balance Year 2 Year 3 Quarter 3 Quarter 4 Quarter 1 40,000 90,000 50,000 Quarter 2 70,000 Quarter 1 Quarter 2 30,000 $25 $40,000 85% 10% 70,000 15% of the budgeted unit sales of the next quarter 15,000 units 2 pounds 20% of the next quarter's production needs 10,000 pounds $2.00 per pound 75% in the quarter the purchases are made 25% in the quarter following purchase $60,000 Enter a formula into the cells below to complete the following budgets: Sales Budget Year 2 Year 3 Quarter 1 Quarter 2 Quarter 3 Quarter 4 Year 2 Total Quarter 1 Quarter 2 Budgeted unit sales Selling price per unit Total sales Schedule of Expected Cash Collections Budget Year 2 Quarter 1 Quarter 2 Quarter 3 Quarter 4 Year 2 Total Beginning balance accounts receivable First-quarter sales Second-quarter sales Third-quarter sales Fourth-quarter sales Total cash collections Production Budget Budgeted unit sales Year 2 Year 3 Quarter 1 Quarter 2 Quarter 3 Quarter 4 Year 2 Total Quarter 1 Quarter 2 Add desired ending finished goods inventory