July 1. Budgeted sales for the next four months are as follows: 20,000 August 25,000 September 22,000 October 21,000 The selling price is $60.00 per unit. Sales are 75% on credit & 25% cash. Of the credit sales 60% are collected in month of sale & 40% are collected in subsequent month. 2. The accounts receivable at June 30, 2021 of $346,000 will be collected in July. 3. The company produces enough units each month to meet the months sales plus a desired ending inventory equal to 20% of the next month's estimated sales. 4. Fore pays 50% of direct materials in the month of purchase & pays the remaining 50% in the following month. Each unit of product requires 10 kg of direct materials at a cost of $1.10 per kg. The company purchases enough direct materials each month for the current month's production and 15% of next month's production requirements. Beginning & ending inventory for the quarter of direct materials are budgeted to be 33,000 for beginning & 20,000 for ending. 5. The Accounts payable balance at June 30 of $119,890 will be paid in July. 6. The company plans to pays dividends of $10,000 in July & September. 7. Fore plans to purchase equipment for $15,000 in July & $75,000 in September. 8. Each unit produced requires 1.25 hours of direct labour at a cost of $20/hour. 9. The company wishes to maintain a minimum cash balance of $20,000 at the end of each month. July 1. Budgeted sales for the next four months are as follows: 20,000 August 25,000 September 22,000 October 21,000 The selling price is $60.00 per unit. Sales are 75% on credit & 25% cash. Of the credit sales 60% are collected in month of sale & 40% are collected in subsequent month. 2. The accounts receivable at June 30, 2021 of $346,000 will be collected in July. 3. The company produces enough units each month to meet the months sales plus a desired ending inventory equal to 20% of the next month's estimated sales. 4. Fore pays 50% of direct materials in the month of purchase & pays the remaining 50% in the following month. Each unit of product requires 10 kg of direct materials at a cost of $1.10 per kg. The company purchases enough direct materials each month for the current month's production and 15% of next month's production requirements. Beginning & ending inventory for the quarter of direct materials are budgeted to be 33,000 for beginning & 20,000 for ending. 5. The Accounts payable balance at June 30 of $119,890 will be paid in July. 6. The company plans to pays dividends of $10,000 in July & September. 7. Fore plans to purchase equipment for $15,000 in July & $75,000 in September. 8. Each unit produced requires 1.25 hours of direct labour at a cost of $20/hour. 9. The company wishes to maintain a minimum cash balance of $20,000 at the end of each month