Equipment purchases during the quarter will be: - April $21,850 - May $5,700 Dividends of $6,650 will be paid in June. Management wants to maintain a minimum cash balance of $10,000. The company has an agreement with a local bank that allows the company to borrow in increments of $1,000 at the beginning of each month, up to a total loan balance of $30,000. - Interest is 1% per month - Nordic can repay the loan at the end of the quarter if it is able to do so. The beginning cash balance has been given to you. What amount will Nordic Company plan to borrow (repay) during June? Note: Repayments must be listed in parenthesis. Clue \#8- Balance Sheet You should have all the information in your various schedules. How much are the current assets at June 30th ? Nordic Company Balance Sheet March 31, 2020 \begin{tabular}{|l|r|r|} \hline Cash & & $17,100 \\ \hline Accounts Receivable & & $91,200 \\ \hline Inventory & & $23,940 \\ \hline Buildings \& equipment (net) & & $406,790 \\ \hline & Total Assets & $539,030 \\ \hline & & \\ \hline \end{tabular} Liabilities \& Owners' Equity Liabilities Accounts Payable Owners' Equity \begin{tabular}{|l|r|r|} \hline Capital Stock & & $361,000 \\ \hline Retained earnings & & $143,260 \\ \hline & Total liab. \& Owners' equity & $539,030 \\ \hline \end{tabular} The marketing department has estimated sales in units as follows: The selling price of each unit is $5. 1) Total sales budgeted for 2 nd quarter = (April sales + May sales + June sales) X Selling price per unit =(26,600+32,300+34,200)$5 =$465,500 2) Cash collections in June = (May credit sales) + (June cash sales) =(32,300$580%)+(34,200$520%) =$163,400 3) June 30th accounts receivable = June Credit sales =34,200$580% =$136,800 1. Sales Budget - 2. Schedule of Cash Collections - 3. Merchandise Purchase Budget - 4. Schedule of Cash Payments for Purchase