Near the end of 2019, the management of Dimsdale Sports Co., a merchandising company, prepared the following estimated balance sheet for December 31, 2019. DIMSDALE SPORTS COMPANY Estimated Balance Sheet December 31, 2019 Assets Cash $ 35,500 Accounts receivable 520,000 Inventory 157,500 Total current assets $ 713,000 Equipment 612,000 Less: Accumulated depreciation 76,500 Equipment, net 535,500 Total assets $1,248,500 Liabilities and Equity Accounts payable $ 375,000 Bank loan payable 12,000 Taxes payable (due 3/15/2020) 89,000 Total liabilities $ 476,000 Common stock 474,000 Retained earnings 298,500 Total stockholders' equity 772,500 Total liabilities and equity $1,248,500 Required: 5. Monthly capital expenditures budgets. 6. Monthly cash budgets. 7. Budgeted income statement for the entire first quarter (not for each month). 8. Budgeted balance sheet as of March 31, 2020, uired 4 Required s Required s Retired or require Required 2 Required 3 Required 1 Required 4 Required 5 Required 6 Calc Required 6 Cash Bud Require Monthly capital expenditures budgets. DIMSDALE SPORTS COMPANY Capital Expenditures Budget January, February, and March 2020 January February March Total Required 1 Required 2 Required 3 Required 4 Required 5 "Required 5 Calc Required 6 Cash Bud Required 7 Required 8 Calculate the budgeted cash receipts and cash payments. (Negative values should be indicated with minus sign. Round your final answers to the nearest whole dollar.) Calculation of Cash receipts from customers: January February March Sales in units Selling price per unit Total budgeted sales Cash sales Sales on credit 25% ---------Collected in-- January $ 120,000 $ 400,000 March 31 Receivable Total 520,000 March Accounts Receivable - January 1 $ Credit sales from: January February March Total collection of receivables $ 120,000 Total cash receipts from customers January February March January February March Collections of receivables Calculation of payments for merchandise: January February March Desired ending inventory (units) Budgeted sales in units Total units required Beginning inventory (units) Number of units to be purchased Cost per unit Total cost of purchases ----------------Paid in------------ January February March $ 70,000 $ 305,000 March 31 Payable Total 375,000 $ Accounts Payable - January 1 Merchandise purchases in: January February March Total cash paid for merchandise $ 70,000 DIMSDALE SPORTS CO. Cash Budget January, February, and March 2020 January February March Beginning cash balance Total cash available Cash payments for: Total cash payments Preliminary cash balance Ending cash balance Loan balance January February March Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month Budgeted income statement for the entire first quarter (not for each month). (Round your final answers to the nearest whole dollar.) DIMSDALE SPORTS CO. Budgeted Income Statement For Three Months Ended March 31, 2020 Operating expenses Total operating expenses Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Calc Required 6 Cash Bud Required 7 Required 8 Budgeted balance sheet as of March 31, 2020. (Round your final answers to the nearest whole dollar.) DIMSDALE SPORTS CO. Budgeted Balance Sheet March 31 2020 Assets Total current assets Equipment, net Total assets Liabilities and Equity Liabilities Bank loan payable Total liabilities Stockholders' Equity Total Stockholders' Equity Total Liabilities and Equity
