Krause Industries balance sheet at December 31, 2019, is presented below.

To meet sales requirements and to have 2,500 units of finished goods on hand at December 31, 2020, the production budget shows 9,000 required units of output. The total unit cost of production is expected to be $18. Krause uses the first-in, first-out (FIFO) inventory costing method. Interest expense is expected to be $3,500 for the year. Income taxes are expected to be 40% of income before income taxes. In 2020, the company expects to declare and pay an $8,530 cash dividend. The companys cash budget shows an expected cash balance of $5,880 at December 31, 2020. All sales and purchases are on account. It is expected that 60% of quarterly sales are collected in cash within the quarter and the remainder is collected in the following quarter. Direct materials purchased from suppliers are paid 50% in the quarter incurred and the remainder in the following quarter. Purchases in the fourth quarter were the same as the materials used. In 2020, the company expects to purchase additional equipment costing $11,270. $11,169 of depreciation expense on equipment is included in the budget data and split equally between manufacturing overhead and selling and administrative expenses. Krause expects to pay $9,590 on the outstanding notes payable balance plus all interest due and payable to December 31 (included in interest expense $3,500, above). Accounts payable at December 31, 2020, includes amounts due suppliers (see above) plus other accounts payable relating to manufacturing overhead of $7,450. Unpaid income taxes at December 31 will be $5,160.

Prepare (1): Budgeted Cost of Goods Sold, (2): Budgeted Income Statement, (3): Budgeted Retained Earnings Statement, (4): Budgeted Balance Sheet

Thank you

KRAUSE INDUSTRIES Balance Sheet December 31, 2019 Assets Current Assets Cash $7.500 Accounts receivable 73,500 25,340 106,340 Finished goods inventory (1.500 units) Total current assets Property, Plant, and Equipment Equipment Less: Accumulated depreciation $40,380 10,810 29,570 Total assets $135,910 Liabilities and Stockholders' Equity Liabilities $26,360 47,350 Notes payable Accounts payable Total liabilities Stockholders' Equity 73.710 $35,600 26,600 Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 62.200 $135,910 Budgeted data for the year 2020 include the following 2020 Quarter 4 Total $76,800 $256,000 14.250 62.500 Sales budget (8,000 units at $32) Direct materials used Direct labor Manufacturing overhead applied Selling and administrative expenses 12.500 50.900 10.000 48,600 17,690 75,000