Deacon Company is a merchandising company that is preparing a budget for the three-month period ended June 30th. The following information is available Deacon Company Balance Sheet 25 points 61,400 32,400 Cash Accounts receivable Inventory Baildings and equipment, net of depreciation 148,000 58,300 300,100 105,100 Liabilities and Stockbolders Equity Aecounts payable 0,000 Retained earmings Total 1iabilities and stockholders equity ted Income Statenents April $161,000 $171,000 191,000 May June Sales Cost of goods sold Groes margin Selling and adninistrative expenses 1 300 19,800 Bet operating incone 64,400 22 800 53,600 46,100 48,600 Budgeting Assumptions: a, 60% of sales are cash sales and 40% of sales are credit sales. Twenty percent of all credit sales are collected in the month of sale and the remaining 80% are collected in the month subsequent to the sale. b. Budgeted sales for July are $201,000 c, 10% of merchandise inventory purchases are paid in cash at the time of the purchase. The remaining 90% of purchases are creda purchases. All purchases on credit are paid in the month subsequent to the purchase. The accounts payable at March 31 will be paild in April. Budget Problem Assignment Help Save& Exit Submit Check my work Budgeting Assumptions: 25 points 60% of sales are cash sales and 40% of sales are credit sales. Twenty percent of all credit sales are colected in the month of sale and the remaining 80% are collected in the month subsequent to the sale. b. Budgeted sales for July are $201,000. c. 10% of merchandise inventory purchases are paid in cash at the time of the purchase. The remaining 90% of purchases are credit purchases, All purchases on credit are paid in the month subsequent to the purchase. The accounts payable at March 3t will be paid in April. d. Each month's ending merchandise inventory should equal $10,000 plus 50% of the next month's cost of goods sold. e. Depreciation expense is $1,200 per month. All other selling and administrative expenses are paid in full in the month the expense is incurred. Required: 1. Calculate the expected cash collections for April, May, and June. 2. Calculate the budgeted merchandise purchases for April, May, and June. 3. Calculate the expected cash disbursements for merchandise purchases for April, May, and June. 4. Prepare a budgeted balance sheet at June 30th. (Hint: You need to calculate the cash paid for selling and administrative expenses during April, May, and June to determine the cash balance in your June 30th balance sheet.) References Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required4 Prepare a budgeted balance sheet at June 30th. (Hint: You need to calculate the cash paid for selling and administrative expenses during April, May, and June to determine the cash balance in your June 30th balance sheet.) Balance Sheet Assets Prev1 of Next Budget Problem Assignment 6 Help Save& Exit Submit Check my work Complete this question by entering your answers in the tabs below 25 points Required 1 Required 2 Required 3 Required 4 Prepare a budgeted balance sheet at June 30th. (Hint: You need to calculate the cash paid for seling and administrative expenses during Apinl, May, and hune to determine the cash balance in your June 30th bslance sheet,) Balance Sheet Print Total assets Liabilities and Stockholders' Equity Tolal labites and slockholders equily Required a Prev 1f1 Next