Hi, I have been working on this question for a few hours trying to figure it out based of similar questions posted on Chegg, but I cannot figure out where numbers are coming from starting at part 2 and on.

Thanks so much

Janus Products, Inc. is a merchandising company that sells binders, paper, and other school supplies. The company is planning its cash needs for the third quarter. In the past, Janus Products has had to borrow money during the third quarter to support peak sales of back-to-school materials, which occur during August. The following information has been assembled to assist in preparing a cash budget for the quarter: a. Budgeted monthly absorption costing income statements for July to October are as follows: July $54,000 29,600 24,400 August $84,000 47,600 36,400 September $ 64,000 35,600 28,400 October $59,000 32,600 26,400 Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expense Administrative expense* Total selling and administrative expenses Net operating income 11,400 6,350 17,750 $ 6,650 14,500 8,600 23,100 $13,300 9,900 7,500 17,400 $11,000 8,700 7,300 16,000 $10,400 *Includes $2,700 depreciation each month. b. Sales are 20% for cash and 80% on credit. c. Credit sales are collected over a three-month period, with 10% collected in the month of sale, 70% in the month following sale, and 20% in the second month following sale. May sales totalled $44,000, and June sales totalled $50,000. d. Inventory purchases are paid for within 15 days. Therefore, 50% of a month's inventory purchases are paid for in the month of purchase. The remaining 50% are paid in the following month. Accounts payable for inventory purchases at June 30 total $18,700. e. The company maintains its ending inventory levels at 75% of the cost of the merchandise to be sold in the following month. The merchandise inventory at June 30 is $25,000. f. Land costing $5,200 will be purchased in July. g. Dividends of $1,700 will be declared and paid in September. h. The cash balance on June 30 is $9,400; the company must maintain a cash balance of at least this amount at the end of each month. i. The company has an agreement with a local bank that allows it to borrow in increments of $1,000 at the beginning of each month, up to a total loan balance of $40,000. The interest rate on these loans is 1% per month, and for simplicity, we will assume that Required: 1. Prepare a schedule of expected cash collections for July, August, and September and for the quarter in total. JANUS PRODUCTS, INC. Schedule of Expected Cash Collections July August September Quarter $ 10,800 $ 16,800 $ 12,800 $ 40,400 Cash sales Credit sales: 7,040 May June 28,000 4,320 8,000 30,240 6,720 July August September Total cash collections 7,040 36,000 8,640 43,200 47,040 53,760 5,120 5,120 73,600 $ 185,520 mm $ 50, 160 $ 61,760 $ 2. Prepare the following for merchandise inventory: a. A merchandise purchases budget for July, August, and September. JANUS PRODUCTS, INC. Merchandise Purchases Budget July August September Budgeted cost of goods sold $ 29,600 $ 47,600 $ 35,600 Add: Desired ending inventory Total needs a. A merchandise purchases budget for July, August, and September. JANUS PRODUCTS, INC. Merchandise Purchases Budget July August September Budgeted cost of goods sold $ 29,600 $ 47,600 $ 35,600 Add: Desired ending inventory Total needs Required inventory purchases b. A schedule of expected cash disbursements for merchandise purchases for July, August, and September and for the quarter in total. July Quarter JANUS PRODUCTS, INC. Schedule of Expected Cash Disbursements August September Accounts payable, June 30 July purchases August purchases September purchases Total cash disbursements 3. Prepare a cash budget for July, August, and September and for the quarter in total. (Roundup "Borrowing" and "Repayments" answers to the nearest whole dollar amount. Any "Repayments" and "Interest" should be indicated by a minus sign. Leave no cells blank - be certain to enter "o" wherever required.) JANUS PRODUCTS, INC. Cash Budget For the Quarter Ended September 30 July August September Quarter Total cash available Deduct: Disbursements: Total disbursements Excess (deficiency) of cash available over disbursements Financing: Total financing