I just need help with questions 5 and 6, please Milo Company manufactures beach umbrellas The company is preparing detailed budgets for the third quarter and has assembled the following information to assist in the budget preparation The Marketing Department has estimated sales as follows for the remainder of the year (in units) July 32,000 October 22,000 August 74,000 November 8,500 September 43,000 December 9,000 The selling price of the beach umbrellas is $13 per unit All sales are on account (i e , on credit) and sales for June totaled $299,000 Based on past experience, sales are collected in the following pattern 30 in the month of sale 65 in the month following sale 5 uncollectible The company maintains finished goods inventories equal to 15 of the following months sales This requirement will be met at the end of June Each beach umbrella requires 4 feet of Gilden, a material that is sometimes hard to acquire Therefore, the company requires that the ending inventory of Gilden be equal to 50 of the following months production needs The inventory of Gilden on hand at the beginning and end of the quarter will be June 30 76,600 feet September 30 feet Gilden costs $0 80 per foot One half of a months purchases of Gilden is paid for in the month of purchase the remainder is paid for in the following month The accounts payable on July 1 for purchases of Gilden during June will be $50,120 (I e , this is the amount of June Gliden purchases that have not been paid for at the end of June ) Required 1 Calculate the estimated sales, by month and in total, for the third quarter 2 Calculate the expected cash collections , by month and in total, for the third quarter 3 Calculate the estimated quantity of beach umbrellas that need to be produced in July, August, September, and October 4 Calculate the quantity of Gilden (in feet) that needs to be purchased by month and in total, for the third quarter 5 Calculate the cost of the raw material (Gilden) purchases by month and in total, for the third quarter 6 Calculate the expected cash disbursements for raw material (Gilden) purchases , by month and in total, for the third quarter

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I just need help with questions 5 and 6, please. Milo Company manufactures beach umbrellas. The company is preparing detailed budgets for the third quarter

I just need help with questions 5 and 6, please.

Milo Company manufactures beach umbrellas. The company is preparing detailed budgets for the third quarter and has assembled the following information to assist in the budget preparation:

The Marketing Department has estimated sales as follows for the remainder of the year (in units):

July	32,000	October	22,000
August	74,000	November	8,500
September	43,000	December	9,000

The selling price of the beach umbrellas is $13 per unit.

All sales are on account (i.e., on credit) and sales for June totaled $299,000. Based on past experience, sales are collected in the following pattern:

30%	in the month of sale
65%	in the month following sale
5%	uncollectible

The company maintains finished goods inventories equal to 15% of the following months sales. This requirement will be met at the end of June.
Each beach umbrella requires 4 feet of Gilden, a material that is sometimes hard to acquire. Therefore, the company requires that the ending inventory of Gilden be equal to 50% of the following months production needs. The inventory of Gilden on hand at the beginning and end of the quarter will be:

June 30	76,600	feet
September 30	?	feet

Gilden costs $0.80 per foot. One-half of a months purchases of Gilden is paid for in the month of purchase; the remainder is paid for in the following month. The accounts payable on July 1 for purchases of Gilden during June will be $50,120. (I.e., this is the amount of June Gliden purchases that have not been paid for at the end of June.)

Required:

1. Calculate the estimated sales, by month and in total, for the third quarter.

2. Calculate the expected cash collections, by month and in total, for the third quarter.

3. Calculate the estimated quantity of beach umbrellas that need to be produced in July, August, September, and October.

4. Calculate the quantity of Gilden (in feet) that needs to be purchased by month and in total, for the third quarter.

5. Calculate the cost of the raw material (Gilden) purchases by month and in total, for the third quarter.

6. Calculate the expected cash disbursements for raw material (Gilden) purchases, by month and in total, for the third quarter.