Castor Incorporated is preparing its master budget. Budgeted sales and cash payments for merchandise purchases for the next three months follow.

Budgeted	April	May	June
Sales	$ 33,600	$ 42,000	$ 25,200
Cash payments for merchandise purchases	21,210	17,640	18,060

Sales are 50% cash and 50% on credit. Sales in March were $25,200. All credit sales are collected in the month following the sale. The March 31 balance sheet includes balances of $12,600 in cash and $2,100 in loans payable. A minimum cash balance of $12,600 is required. Loans are obtained at the end of any month when the preliminary cash balance is below $12,600. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. If a preliminary cash balance above $12,600 at month-end exists, loans are repaid from the excess. Expenses are paid in the month incurred and include sales commissions (10% of sales), shipping (2% of sales), office salaries ($5,250 per month), and rent ($3,150 per month).

Prepare a budgeted balance sheet at March 31 using the following information from Zimmer Company.

1. The cash budget for March shows an ending loan balance of $10,500 and an ending cash balance of $57,750.
2. The sales budget for March shows sales of $121,000. Accounts receivable at the end of March are budgeted to be 65% of March sales.
3. The merchandise purchases budget shows that $89,100 in merchandise will be purchased on credit in March. Purchases on credit are paid 100% in the month following the purchase.
4. Ending merchandise inventory for March is budgeted to be 610 units at a cost of $30 each.
5. Income taxes payable of $26,100 are budgeted at the end of March.
6. Accounting records at the end of March show budgeted equipment of $83,900 with accumulated depreciation of $31,200.
7. Common stock of $25,500 and retained earnings of $56,200 are budgeted at the end of March.

Render CPA is preparing direct labor budgets for the current year. The partners budget billable hours for the year as follows.

Data entry	1,010	hours
Auditing	2,400	hours
Tax	2,230	hours
Consulting	335	hours

The company budgets $11 per hour to data-entry clerks, $36 per hour to audit personnel, $58 per hour to tax personnel, and $58 per hour to consulting personnel. Prepare a direct labor budget for this service company for the year.

Cash receipts from Total cash receipts Beginning cash balance Total cash available Less: Cash payments for: Total cash payments CASTOR INCORPORATED Schedule of Cash Receipts from Sales April $ $ 33,600 $ 0 CASTOR, INCORPORATED Cash Budget April 0 $ May 42,000 $ May 0 0 $ June 25,200 June 0 0 Total cash payments Preliminary cash balance Ending cash balance Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month Loan balance April 2,100 May June ZIMMER COMPANY Budgeted Balance Sheet As of March 31 0 0 0 Data-entry Auditing Tax Consulting RENDER CPA Direct Labor Budget For The Year Ending December 31 Direct Labor Cost per hour Cost of direct labor Direct Labor Hours Direct Labor Cost