Deacon Company is a merchandising company that is preparing a budget for the second quarter of the calendar year. The following information is available.

DEACON COMPANY Balance Sheet March 31 Assets Cash 59, 000 Accounts receivable 26, 000 Inventory 42, 000 Plant and equipment, net of depreciation 105, 000 Total assets $ 232, 000 Liabilities and Shareholders' Equity Accounts payable $ 46,000 Common shares 66, 000 Retained earnings 120, 000 Total liabilities and shareholders' equity $ 232, 000 Budgeted Income Statements April May June Sales S 92, 000 $ 101, 000 $ 121, 000 Cost of goods sold 55, 200 60, 600 72. 600 Gross margin 36, 800 40, 400 48, 400 Selling and administrative expenses 13, 000 16, 000 18, 000 Operating income 23, 800 24, 400 30, 400Prepare a budgeted balance sheet at June 30. (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 30 balance sheet.) Deacon Company Balance Sheet June 30 Assets Cash Accounts receivable Inventory Plant and equipment, net of depreciation Total assets 0 Liabilities and Shareholders' Equity Accounts payable Common share Retained earnings Total liabilities and stockholders' equity S 0