fill in blanks for budgeted income statement for the entire second quarter (not for each month seperately)

ZIGBY MANUFACTURING Estimated Balance Sheet March 31, 2019 Assets Cash Accounts receivable Raw materials inventory Finished goods inventory Total current assets Equipment Accumulated depreciation Equipment, net Total assets Liabilities and Equity Accounts payable Short-term notes payable Total current liabilities Long-term note payable Total liabilities Common stock Retained earnings Total stockholders' equity Total liabilities and equity $ 42,000 364,000 107,200 349,440 862,640 604,000 (152,000) 452,000 $1,314,640 $ 211,300 14,000 225, 300 510,000 735,300 337,000 242,340 579,340 $1,314,640 ook onces a. Sales for March total 20,800 units. Forecasted sales in units are as follows: April, 20,800; May, 21,600; June, 20,900; and July, 20,800. Sales of 242,000 units are forecasted for the entire year. The product's selling price is $25.00 per unit and its total product cost is $21.00 per unit. b. Company policy calls for a given month's ending raw materials inventory to equal 50% of the next month's materials requirements. The March 31 raw materials Inventory is 5,360 units, which complies with the policy. The expected June 30 ending raw materials inventory is 4.200 units. Raw materials cost $20 per unit. Each finished unit requires 0.50 units of raw materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's expected unit sales. The March 31 finished goods inventory is 16,640 units, which complies with the policy. d. Each finished unit requires 0.50 hours of direct labor at a rate of $17 per hour. e. Overhead is allocated based on direct labor hours. The predetermined variable overhepd rate is $3.00 per direct labor hout. 1. Sales representatives commissions are 8% of sales and are paid in the month of the soles. The sales manager's monthly salary is 9. Monthly general and administrative expenses include $14.000 administrative salaries and 0.7% monthly interest on the long-term h. The company expects 30% of sales to be for cash and the remaining 70% on credit. Recevables are collected in full in the month following the sale (none are collected in the month of the sale). 1. All raw materials purchases are on credit, and no payables arise from any other transactions. One month's raw materials purchases are fully paid in the next month. j. The minimum ending cash balance for all months is $42,000. If necessary, the company borrows enough cash using a short-term note to reach the minimum. Short-term notes require an interest payment of 1% at each month-end (before any repayment). If the ending cash balance exceeds the minimum, the excess will be applied to repaying the short-term notes payable balance. k. Dividends of $12,000 are to be declared and paid in May. 1. No cash payments for Income taxes are to be made during the second calendar quarter Income tax will be assessed at 40% in the Check my work ending cash balance exceeds the minimum, the excess will be applied to repaying the short-term notes payable balance. k. Dividends of $12,000 are to be declared and paid in May. I. No cash payments for income taxes are to be made during the second calendar quarter. Income tax will be assessed at 40% in the quarter and paid in the third calendar quarter. m. Equipment purchases of $132.000 are budgeted for the last day of June. ZIGBY MANUFACTURING Budgeted Income Statement For Three Months Ended June 30, 2019 Sales Cost of goods sold Gross profit Operating expenses Sales commissions $ 1,582,500 1,329,300 253,200 ces Sales salaries General administrative salaries Long-term note interest Bank loan interest expense 0 Total operating expenses Income before taxes 253,200 Income tax $ 253,200 Net income Next