need help solving 10 a) b) c) and d) using the following info below

budgeted balance sheet below

question to be answered below, the green highlight is the answer but not sure how to get to it

Garden Sales, Inc., sells garden supplies. Management is planning its cash needs for the second quarter. The company usually has to borrow money during this quarter to support peak sales of lawn care equipment, which occur during May. The following information has been assembled to assist in preparing a cash budget for the quarter: a. Budgeted monthly absorption costing income statements for April-July are: April May June July $ 710,000 $ 880,000 $ 590,000 $ 490,000 497,000 616,000 413,000 343,000 213,000 264,000 177,000 147,000 Sales Cost of goods sold Gross margin Selling and administrative expenses : Selling expense Administrative expense* Total selling and administrative expenses Net operating income 89,000 108,000 70,000 49,000 49,500 67,200 43,400 47,000 138,500 175,200 113,400 96,000 $ 74,500 $ 88,800 $ 63,600 $ 51,000 *Includes $31,000 of depreciation each month. May 40,400 $ 690,400 730,800 June Quarter 40,500 $ 60,000 771,600 1,867,200 812,100 1,927,200 Garden Sales, Inc. Cash Budget For the Quarter Ended June 30 April Beginning cash balance $ 60,000 $ Add collections from customers 405,200 Total cash available 465,200 Less cash disbursements: Purchases for inventory 391,300 Selling expenses 89,000 Administrative expenses 18,500 Land purchases Dividends paid 38,000 Total cash disbursements 536,800 Excess deficiency) of cash available over disbursements (71,600) Financing: Borrowings 112,000 Repayment Interest Total financing 112,000 Ending cash balance $ 40,400$ 548,100 108,000 36,200 46,000 487,200 70,000 12,400 1,426,600 267,000 67,100 46,000 38,000 1,844,700 82,500 738,300 (7,500) 569,600 242,500 48,000 (160,000) (4,320) (164,320) 78,180$ 160,000 (160,000) (4,320) (4,320) 78,180 48,000 40,500$ Cash Accounts Receivable Inventory Total current assets Plant Assets, net Total Assets Garden Sales, Inc Balance Sheet March 31 $60,000 Accounts Payable $130,900 $252,800 $99,400 Common Stock $100,000 $412,200 Retained Earnings $531,300 350,000 Total SH Equity $631,300 $762,200 Total liabilities & SH Equity $762,200 June 118,000 Collections on Sales: Cash sales February credit sales: March credit sales: April credit sales: May credit sales: June credit sales: Total cash collections Revised Cash Collection Schedule April May 142.000 176,000 44,000 162,400 46,400 142.000 369.200 176,000 Quarter 436,000 44,000 208.800 568,000 633,600 118,000 2008.400 56.800 457,600 118,000 750.400 490.400 767.600 July 343,000 Revised Inventory Purchasing Budget April May Budgeted cost of goods sold 497,000 616,000 Add desired ending Inventory 92,400 61,950 Total needs 589,400 677,950 Less beginning merchandise inventory 99,400 92,400 Required inventory purchases 490.000 585.550 June 413,000 51,450 464,450 61,950 402.500 4) The company has been postponing payments to supplier for quite some time such that the president does not believe they can change their payment policies. (Percentages used in CONNECT will not change). The president is hoping the reduced inventory amounts will be enough to conserve cash. Using the same payment policy from CONNECT, complete the Revised Cash Disbursements Schedule below. Revised Cash Disbursements for Inventory April May June Beginning accounts payable 130,900 April purchases 245,000 245,000 May purchases 292,775 292,775 June purchases 201,250 Total cash disbursements for Inventory 375.000 537/775 494.025 Quarter 130,900 490,000 585,550 201,250 1.407.700 -0- Cash Disbursements for Selling & Administrative Expenses April May June Beginning accounts payable April expenses 86000 21500 May expenses 115360 28840 June expenses 65920 Total cash disbursements for S & A expenses 86000 136860 94760 Quarter 0 107500 144200 65920 317620 June 97,465 750,400 847,865 Quarter 60,000 2,008,400 2,068,400 494,025 94,760 Garden Sales, Inc. Cash Budget For the Quarter Ended June 30 April May Beginning cash balance 60,000 50,500 Add collections from customers 490,400 767,600 Total cash available 550,400 818,100 Less cash disbursements: Purchases for inventory 375,900 537,775 Selling & Administrative expenses 86,000 136,860 Land purchases 46,000 Dividends paid 38,000 Total cash disbursements 499,900 720,635 Excess (deficiency) of cash available over disbursements 50,500 97,465 Financing: Borrowings 2,000 Repayments (2,000) Interest (40) Total financing 2,000 (2,040) Ending cash balance 52.500 95.425 1,407,700 317,620 46,000 38,000 1,809,320 588,785 259,080 259,080 2,000 (2,000) (40) (40) 259.040 259.080 Cash Accounts Receivable Inventory Total current assets Garden Sales, Inc Balance Sheet June 30 259,080 Accounts Payable 217,730 424,400 Loan Payable (if necessary) 51,450 Total Liabilities 217,730 734,930 Common Stock 100,000 Retained Earnings 720,200 303,000 Total SH Equity 820,200 1,037,930 Total liabilities & SH Equity 1,037,930 Plant Assets, net Total Assets 10) Let's look at some additional requirements for companies that are manufacturers rather than merchandisers. Assume Garden Sales manufactures hand-held lawn care equipment. Rakes, hoes, shovels etc. out of basic wood stock and metal. The sales budget is provided in dollars. For manufacturing companies, it is best to convert this to "Number of units. Report your unit answers as whole units necessary to meet the sales dollars (round up). a) Assume Garden Sales average sales price per unit is $60. Determine the Sales Budget in unit for the quarter. Complete the first 3 rows of the Production Budget. Based on July's sales budget in dollars, how many units will they expect to sell in July? b) Beginning Finished Goods Inventory: Remember ending inventory should be 20% of next month's sales. How many units will be in ending inventory for March using the budgeted unit sales for April? This will be the beginning inventory for April and should be included in the budget below. c) Ending Finished Goods Inventory: Using the budgeted unit sales for July, how many units will be in June's ending inventory? Include this number in the Budget below. June Quarter 60 60 d) Complete the table below for the Production Budget for the quarter. Production Budget April May Budgeted Sales in $s Average price per unit 60 60 Budgeted unit sales Add Desired units of ending Finished Goods Inventory Total needs Less: Units of beginning Finished Goods Inventory Required production in units 12,401