Need to find Accumulated Depreciation 68 BEGINNING BALANCE SHEET Royal Company Balance Sheet 1-Jan 18,000 177 174 Current assets: Cash 176 Accounts receivable Raw materials inventory Finished goods inventory 179 Plant and equipment: 180 Land Buildings and equipment 182 Accumulated depreciation 183 Total assets 178 18,000 300,000 162,000 185 Liabilities: 186 Accounts payable 187 Stockholders' equity: 188 Common stock 189 Retained earnings Total liabilities and stockholders' 190 equity 480,000 Royal Company Budgeted Balance Sheet 31-Mar 198 $47,037.42 $203,360.00 $2,377.62 $20,137.31 $272,912.34 196 Current assets: Cash Accounts receivable Raw materials inventory Finished goods inventory 201 Plant and equipment: Land Buildings and equipment 204 Accumulated depreciation 205 Total assets $300,000.00 $561,000.00 $13,561.07 208 ACC $ 480,000.00 207 Liabilities: Accounts payable 209 Stockholders' equity: 210 Common stock Retained earnings Total liabilities and stockholders' 212 equity Budgeted Income Statement For the Quarter Ending March 31 Net sales Cost of goods sold Gross margin Selling & administrative expenses 3 Net operating income 9 Interest expense 50 Net income $1,623,600.00 $648,323.04 $975,276.96 $352,092.00 $623,184.96 $7,233.68 $615,951.28 62 Computation of cost of goods sold: 63 Budgeted sales (units): 764 Unit product cost: 165 Cost of goods sold: 166 19,800 $32.74 $648,323.04 Royal Company Cash Budget For the Quarter Ending March 30 January 18,000 Febuary 30,000 March 30,000 Quarter 18,000 721 Cash balance, beginning 122 Add receipts: 123 Cash colections 124 Total cash avalable 408,360 426,360 533,000 563,000 478,880 508,880 1,420,240 1,438,240 125 15,754 82,051 135,645 115,982 85,000 32,419 49,032 124,762 105,362 314,000 14,000 639,574 22,223 53,092 126, 100 108,548 70,395 184,176 386,506 329,892 399,000 14,000 1,383,969 434,432 309,962 126 Less disbursements: 127 Direct materials Direct labor 129 Manufacturing overhead 130 Selling & administrative 131 Equipment purchases 132 Dividends 133 Total disbursements 134 Excess (deficiency) of cash available 135 over disbursements 136 137 Financing: 138 Borrowings 139 Repayments 140 Interest 141 Total financng (8,072) (76,574) 198,918 54,271 38,072 110,968 (149,040) (7,234) (156,274) 149,040 (149,040) (7,234) (7,234) 38,072 110,968 142 143 Cash balance, ending 30,000 34,394 42,644 47,037 Need to find Accumulated Depreciation 68 BEGINNING BALANCE SHEET Royal Company Balance Sheet 1-Jan 18,000 177 174 Current assets: Cash 176 Accounts receivable Raw materials inventory Finished goods inventory 179 Plant and equipment: 180 Land Buildings and equipment 182 Accumulated depreciation 183 Total assets 178 18,000 300,000 162,000 185 Liabilities: 186 Accounts payable 187 Stockholders' equity: 188 Common stock 189 Retained earnings Total liabilities and stockholders' 190 equity 480,000 Royal Company Budgeted Balance Sheet 31-Mar 198 $47,037.42 $203,360.00 $2,377.62 $20,137.31 $272,912.34 196 Current assets: Cash Accounts receivable Raw materials inventory Finished goods inventory 201 Plant and equipment: Land Buildings and equipment 204 Accumulated depreciation 205 Total assets $300,000.00 $561,000.00 $13,561.07 208 ACC $ 480,000.00 207 Liabilities: Accounts payable 209 Stockholders' equity: 210 Common stock Retained earnings Total liabilities and stockholders' 212 equity Budgeted Income Statement For the Quarter Ending March 31 Net sales Cost of goods sold Gross margin Selling & administrative expenses 3 Net operating income 9 Interest expense 50 Net income $1,623,600.00 $648,323.04 $975,276.96 $352,092.00 $623,184.96 $7,233.68 $615,951.28 62 Computation of cost of goods sold: 63 Budgeted sales (units): 764 Unit product cost: 165 Cost of goods sold: 166 19,800 $32.74 $648,323.04 Royal Company Cash Budget For the Quarter Ending March 30 January 18,000 Febuary 30,000 March 30,000 Quarter 18,000 721 Cash balance, beginning 122 Add receipts: 123 Cash colections 124 Total cash avalable 408,360 426,360 533,000 563,000 478,880 508,880 1,420,240 1,438,240 125 15,754 82,051 135,645 115,982 85,000 32,419 49,032 124,762 105,362 314,000 14,000 639,574 22,223 53,092 126, 100 108,548 70,395 184,176 386,506 329,892 399,000 14,000 1,383,969 434,432 309,962 126 Less disbursements: 127 Direct materials Direct labor 129 Manufacturing overhead 130 Selling & administrative 131 Equipment purchases 132 Dividends 133 Total disbursements 134 Excess (deficiency) of cash available 135 over disbursements 136 137 Financing: 138 Borrowings 139 Repayments 140 Interest 141 Total financng (8,072) (76,574) 198,918 54,271 38,072 110,968 (149,040) (7,234) (156,274) 149,040 (149,040) (7,234) (7,234) 38,072 110,968 142 143 Cash balance, ending 30,000 34,394 42,644 47,037