I need help in parts d and e

Problem 6-22 Level production and related financing effects [LO6-3] Esquire Products Inc. expects the following monthly sales: January February March April May June $ 30,000 July 21,000 August 14,000 September 16,000 October 10,000 November 8,000 December Total sales = $288,000 $ 24,000 28,000 31,000 36,000 44,000 26,000 Cash sales are 40 percent in a given month, with the remainder going into accounts receivable. All receivables are collected in the month following the sale. Esquire sells all of its goods for $2 each and produces them for $1 each. Esquire uses level production, and average monthly production is equal to annual production divided by 12. d. Construct a cash budget for January through December using the cash receipts schedule from part band the cash payments schedule from part c The beginning cash balance is $3,000, which is also the minimum desired. (Negative amounts should be indicated by a minus sign.) May $ $ $ 8.000 January 3,000 $ 4.400 7.400 $ Esquire Products Inc. Cash Budget February March 7,400 $ 14,200 $ 6.800 (1,400) 14,200 $ 12.800 $ 0 0 14,200 $ 12.800 s $ 0 $ April 12,800 (4.800) 8,000 0 8.000 $ Beginning cash Net cash flow Cumulative cash balance Monthly loan or (repayment) Ending cash balance Cumulative loan balance $ 2,000 0 $ $ 7,400 0 $ $ $ 0 $ or $ e. Determine total current assets for each month. Include cash, accounts receivable, and inventory. The accounts receivable for a given month is equal to 60 percent of that month's sales. Inventory is equal to ending inventory (part a) times the cost of $1 per unit. $ January February March April May June July August September October November December Esquire Products Inc. Assets Cash Accounts Total Current Receivable Inventory Assets 7,400 $ 18,000 $ 11,000 $ 36,400 14,200 12,600 12.500 39,300 12.800 8,400 17.500 38,700 8,000 9,600 21.500 39.100 6.000 28,500 4.800 36,500 14,400 36,500 16,800 34,500 18,600 31,000 15,400 21,600 25,000 62,000 35,000 26,400 15,000 76,400 52,200 15,600 14,000 81,800 b. Prepare a cash receipts schedule for January through December Assume that dollar sales in the prior December were $20,000. Esquire Products Inc. Cash Receipts Schedule January February March 30,000 $ 21,000 $ 14.000 $ April 16,000 $ May 10,000 $ June 8.000 Sales Cash receipts Cash sales Prior month's credit salos Total cash receipts $ 12,000 12,000 24,000 $ 8,400 s 18,000 26.400 $ 5,600 s 12.600 18.2005 6.400 S 8,400 14,800 $ 4.000 5 9.600 13,600 $ 3200 6.000 9.200 $ Esquire Products Inc. Cash Receipts Schedule July August September 24.000 5 28,000 s 31 000 $ October November December 36.000 $ 44,000 $ 26.000 $ Sales Cash receipts Cash sales Prior month's credit sales Total cash receipts $ 9,600 $ 4,800 14.400 S 11,200 $ 14.400 25 600 5 12.400 S 16,800 29,200 $ 14,400 $ 18,600 33,000 $ 17,600 s 21.600 39 2005 10,400 26.400 36.800 $ c. Prepare a cash payments schedule for January through December. The production costs (51 per unit produced) are paid for in the month in which they occur. Other cash payments (besides those for production costs) are $7,500 per month Esquire Products Inc. Cash Payments Schedule Constant production January February March 12.000 s 12.000 $ 12.000 $ 7 600 7.600 7.600 19.600 S 19.600 $ 19.600 5 5 Production cost Other cash payments Total cash payments April 12,000 $ 7,600 19,600 $ May 12.000 $ 7.600 19.500 5 June 12 000 7.600 19.600 $ Esquire Products Inc. Cash Payments Schedulo Constant production July August September October November December 12,000 $ 12.000 $ 12,000 $ 12.000 $ 12,000 $ 12.000 7.600 7600 7.600 7600 7.600 7,600 19,600 $ 19,600 $ 19 600 $ 19,600 $ 19,600S 19 600 $ Production cost Other cash payments Total cash payments S