Can anyone answer this Please. I need help.

Background: As the owner of a local CPA firm, you have been hired to help a new small business, Thunderduck Construction. The company has been in business for one year and reports financial information on a quarterly basis. The company uses the accrual-basis method of accounting and follows US GAAP. . Budget Assignment - Part 1 (75 points) Create a quarterly budgeted income statement for Year 2 based on prior year data and discussions with management, using the excel template provided. Prepare a quarterly cash budget (including a schedule of cash receipts and disbursements) for Year 2. Use the separate tab created in the excel template provided. . Use the following assumptions for the budgeted income statement in Year 2 based on historical results and discussions with management: New construction and - Calculate the average for Year 1. This will be the amount of revenue for Q1 Remodel revenue and Q4 of Year 2 Q2 and Q3 of Year 2 will be 15% higher than the Year 1 average due to high demand for homes in the spring, Cost of goods sold 61% of total revenue in Q1 and Q3 in Year 2 59% of total revenue in Q2 and Q4 in Year 2 Salaries expense Mixed expense with a fixed portion of $4,600 per quarter for Q1, Q2, Q3. The variable portion is $5 per project - Fixed portion will be 15% higher in Q4 due to year-end bonuses. Variable will be the same as $5 per project. - 22 projects expected in Q1 and Q2 in Year 2 - 32 projects expected in Q3 and Q4 in Year 2 Marketing expense -Equal to the same quarter in Year 1. Marketing expense Legal expense - Business development expense Depreciation expense - Equal to the same quarter in Year 1. - Calculate the average for Year 1. This will be the amount for every quarter in Year 2 - $3,100 in Q1 and Q2 of Year 2. Due to an increase in projects, increase to $4.000 in Q3 and Q4 of Year 2. - $675 in Q1 and Q2 of Year 2 - Will increase to $825 in 23 and 24 of Year 2 due to new equipment. -Calculate the average for Year 1. This will be the amount for Q1 and Q4 of Year 2 - Q2 and Q3 of Year 2 will be 25% higher with expected increased business. - 4% of COGS each quarter of Year 2. Office supplies expense Miscellaneous expense Use the following assumptions for the cash budget based on historical results and discussions with management: New construction and All sales on made on account and have the following collection pattern: Remodel revenue - 55% will be collected in the quarter the sale is made -35% will be collected in the quarter following the sale - 5% will be collected two quarters following the sale Cost of goods sold All purchases of cost of goods sold are on account and have the following payment pattern: - 50% of purchases are paid for in the quarter of purchase The remainder are paid in the following quarter Selling and - Cash is paid for all expenses in the quarter they are incurred except for administrative expenses depreciation expense (which is a non-cash expense). Purchase of equipment - Equipment costing $13,400 was purchased at the beginning of Q3 of Year 2. Borrow from Bank - The company signed a promissory note to borrow $14,600 at the beginning of Q2 of Year 2 - Interest of $180 is due at the end of each quarter, beginning in Q3 of Year 2. - No loans will be repaid in Year 2 Beginning cash balance Started Year 2 with a $10,800 cash balance. In 000's Thunderduck Construction Income Statement Actual Quarterly for Year 1 Year 1 Actual Provided: 01 Year 1 Q2 Year 1 Q3 Year 1 Q4 Year 1 New construction revenue 35,605 42,790 48,326 43,098 Remodel revenue 24,568 29,482 35,378 31, 133 1 Total revenue 60,173 72,272 83,704 74,231 2 Less: Cost of goods sold 39,112 46,977 53,571 47,508 3 Gross profit 21,061 25, 295 30,133 26,723 4 Less: Selling and administrative expenses 5 Salaries expense 3,400 3,650 3,900 4,400 6 Marketing expense 1,568 2,250 2,646 1,624 7 Legal expense 3,009 3,614 4,185 3,712 _8 Business development expense 2,600 2,600 3,520 3,520 9 Depreciation expense 600 700 750 750 20 Office supplies expense 870 1,242 793 21 Miscellaneous expense 1,956 2,349 2,679 2,375 22 Total selling and admin expenses 13,579 16,032 18,922 17,174 23 Net operating Income 7,481 9,263 11,212 9,549 24 447 26 Thunderduck Construction 27 Income Statement 28 Budget Quarterly for Year 2 29 30 Year 2 Budget: Q1Year 2 Q2 Year 2 Q3 Year 2 Q4 Year 2 31 New construction revenue 32 Remodel revenue 33 Total revenue 34 Less: Cost of goods sold 35 Gross profit 36 Less: Selling and administrative expenses 37 Salaries expense 38 Marketing expense 39 Legal expense 40 Business development expense 41 Depreciation expense 42 Office Supplies expense 43 Miscellaneous expense 44 Total selling and admin expenses 45 Net operating income 46 Thunderduck Construction Cash Budget Quarterly for Year 2 Year 2 01 Year 2 (2 Year 2 Q3 Year 2 Q4 Year 2 1 Part 1 2 In 000's 3 4 5 6 Cash balance, beginning 7 Plus: Cash receipts B 9 Cash available for use 10 Less: Cash disbursements 12 13 14 Excess or (Deficiency) of cash 15 Financing: 16 -17 18 Cash balance, ending 19 20 Cash Budget - Schedule of Cash Receipts 21 22 Q1 Year 2 Q2 Year 2 Q3 Year 2 Q4 Year 2 Year 2 23 24 25 26 Total cash collected 27 28 Cash Budget - Schedule of Cash Disbursements 29 30 Q1Year 2 Q2 Year 2 Q3 Year 2 Q4 Year 2 31 Year 2 32 33 Total cash paid 34 35 36 37