Exercise 20-33A Merchandising: Budgeted balance sheet LO P3

The following information is available for Zetrov Company.

1. The cash budget for March shows an ending bank loan of $14,500 and an ending cash balance of $57,300.
2. The sales budget for March indicates sales of $129,000. Accounts receivable are expected to be 70% of the current-month sales.
3. The merchandise purchases budget indicates that $89,900 in merchandise will be purchased on account in March. Purchases on account are paid 100% in the month following the purchase. Ending inventory for March is predicted to be 690 units at a cost of $30 each.
4. The budgeted income statement for March shows net income of $48,900. Depreciation expense of $1,900 and $26,900 in income tax expense were used in computing net income for March. Accrued taxes will be paid in April.
5. The balance sheet for February shows equipment of $83,100 with accumulated depreciation of $30,900, common stock of $29,500, and ending retained earnings of $8,900. There are no changes budgeted in the equipment or common stock accounts.

Prepare a budgeted balance sheet at the end of March.