Needing help with with the following sections: Required 4,Required 6 Cash Budget, Required 7 Budget Income, and Required 8.

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 $ 36,500 Accounts receivable 520,000 Inventory 157,500 Total current assets $ 714,000 Equipment 564,000 Less: Accumulated depreciation 70,500 Equipment, net 493,500 Total assets $ 1,207,500 Liabilities and Equity Accounts payable $ 345,000 Bank loan payable 13,000 Taxes payable (due 3/15/2020) 92,000 Total liabilities 450,000 Common stock 473,000 Retained earnings 284,500 Total stockholders' equity Total liabilities and equity $ 1,207,500 757,500 To prepare a master budget for January, February, and March of 2020, management gathers the following information. a. The company's single product is purchased for $30 per unit and resold for $57 per unit. The expected inventory level of 5,250 units on December 31, 2019, is more than management's desired level, which is 20% of the next month's expected sales (in units). Expected sales are January, 6,750 units; February, 9,500 units; March 11,000 units, and April, 9,500 units. b. Cash sales and credit sales represent 20% and 80%, respectively, of total sales. Of the credit sales, 57% is collected in the first month after the month of sale and 43% in the second month after the month of sale. For the December 31, 2019, accounts receivable balance, $125,000 is collected in January 2020 and the remaining $395,000 is collected in February 2020. c. Merchandise purchases are paid for as follows: 20% in the first month after the month of purchase and 80% in the second month after the month of purchase. For the December 31, 2019, accounts payable balance, $60,000 is paid in January 2020 and the remaining $285,000 is paid in February 2020. d. Sales commissions equal to 20% of sales are paid each month. Sales salaries (excluding commissions) are $60,000 per year. e. General and administrative salaries are $132,000 per year. Maintenance expense equals $2,200 per month and is paid in cash. f. Equipment reported in the December 31, 2019, balance sheet was purchased in January 2019. It is being depreciated over eight years under the straight-line method with no salvage value. The following amounts for new equipment purchases are planned in the coming quarter: January, $38,400; February, $96,000; and March, $26,400. This equipment will be depreciated under the straight- line method over eight years with no salvage value. A full month's depreciation is taken for the month in which equipment is purchased. g. The company plans to buy land at the end of March at a cost of $165,000, which will be paid with cash on the last day of the month. h. The company has a working arrangement with its bank to obtain additional loans as needed. The interest rate is 12% per year, and interest is paid at each month-end based on the beginning balance. Partial or full payments on these loans can be made on the last day of the month. The company has agreed to maintain a minimum ending cash balance of $27,000 at the end of each month. i. The income tax rate for the company is 43%. Income taxes on the first quarter's income will not be paid until April 15. Required: Prepare a master budget for each of the first three months of 2020; include the following component budgets. 1. Monthly sales budgets. 2. Monthly merchandise purchases budgets. 3. Monthly selling expense budgets. 4. Monthly general and administrative expense budgets. 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. Required: Prepare a master budget for each of the first three months of 2020; include the following component budgets. 1. Monthly sales budgets. 2. Monthly merchandise purchases budgets. 3. Monthly selling expense budgets. 4. Monthly general and administrative expense budgets. 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. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 6 Calc Cash Bud Required 7 Required 8 Monthly sales budgets. DIMSDALE SPORTS CO. Sales Budget For January, February, and March 2020 Budgeted Budgeted Unit Sales Unit Price $ 57 January February March Totals for the quarter 6,750 9,500 11,000 27,250 Budgeted Total Dollars 384,750 541,500 627,000 1,553,250 57 57 Required 1 Required 2 > Prepare a master budget for each of the first three months of 2020; include the following component budgets. 1. Monthly sales budgets. 2. Monthly merchandise purchases budgets. 3. Monthly selling expense budgets. 4. Monthly general and administrative expense budgets. 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. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 6 Calc Cash Bud Required 7 Required 8 Monthly merchandise purchases budgets. March Total Next month's budgeted sales (units) Ratio of inventory to future sales Budgeted ending inventory (units) Budgeted units sales for month Required units of available merchandise Beginning inventory (units) Units to be purchased Budgeted cost per unit Budgeted merchandise purchases 9,500 20% 1.900 DIMSDALE SPORTS CO. Merchandise Purchases Budget January, February, and March 2020 January February 9,500 11,000 20% 20% 1,900 2,200 6,750 9,500 8,650 11.700 5,250 1,900 3,400 9,800 $ 30$ 30 $ 102,000 $ 294,000 OOOOOO 11,000 12.900 2.200 10,700 30 321.000 $ $ 23,900 30 717,000 Prepare a master budget for each of the first three months of 2020; include the following component budgets. 1. Monthly sales budgets. 2. Monthly merchandise purchases budgets. 3. Monthly selling expense budgets. 4. Monthly general and administrative expense budgets. 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. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 6 Calc Cash Bud Required 7 Required 8 Monthly selling expense budgets. Total DIMSDALE SPORTS COMPANY Selling Expense Budget January, February, and March 2020 January February Budgeted sales 384,750 $ 541,500 Sales commission percent 20% 20% Sales commissions 76,950 108,300 Sales salaries 5,000 5,000 Total budgeted selling expenses 81,950 $ 113,300 March $ 627,000 20% 125,400 5,000 $ 130,400 $ 310,650 15,000 $ 325,650 1. Monthly sales budgets. 2. Monthly merchandise purchases budgets. 3. Monthly selling expense budgets. 4. Monthly general and administrative expense budgets. 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. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Calc Required 6 Cash Bud Required 7 Required 8 Monthly general and administrative expense budgets. Equipment - beginning of month Equipment purchases Equipment - end of month Monthly depreciation expense January $ 564.000 38,400 $ 602,400 February $ 602,400 96,000 $ 698,400 March $ 698,400 26,400 $ 724,800 DIMSDALE SPORTS CO. General and Administrative Expense Budget January, February, and March 2020 January February March Salaries expense Maintenance expense 1. Monthly sales budgets. 2. Monthly merchandise purchases budgets. 3. Monthly selling expense budgets. 4. Monthly general and administrative expense budgets. 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. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 6 Calc Cash Bud Required 7 Required 8 Monthly capital expenditures budgets. DIMSDALE SPORTS COMPANY Capital Expenditures Budget January, February, and March 2020 January February $ 38,400 $ 96,000 0$ 0 $ 38,400 $ 96,000 Total 160,800 $ Equipment purchases Land purchase Total March 26,400$ 165,000 191.400 165,000 325,800 Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 6 Calc 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: March January 6,750 57.00 384,750 Sales in units Selling price per unit Total budgeted sales Cash sales Sales on credit $ February 9,500 $ 57.00 $ 541,500 108,300 $ 433,200 $ 11,000 $ 57.00 $ 627,000 125,400 $ 501,600 20% 76,950 $ 307,800 80% March 31 Receivable Total --Collected in-- February $ 395,000 January March $ 520,000 $ 125,000 $ 175,446 $ 0 Accounts Receivable - January 1 Credit sales from: January February March Total collection of receivables 307,800 433,200 501,600 132,354 246,924 $ 186,276 501,600 $ 125,000 $ 570,446 $ 379,278 $ 687,876 Current month's cash sales Collections of receivables Total cash receipts Total cash receipts from customers January February 76,950 $ 108,300 125,000 570,446 $ 201,950 $ 678,746 March $ 125,400 379,278 $ 504,678 Calculation of payments for merchandise: March January 1,900 February $ 2,200 1,900 $ $ $ $ 6,750 8,650 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 9,500 11,700 1,900 11,000 12,900 2,200 5,250 3,400 $ 30 $ 102,000 9,800 $ 30 $ 294,000 $ 10,700 30 321,000 -Paid in- March 31 Payable Total January March February $ 285,000 $ 345,000 $ 60,000 102,000 20,400 $ $ 0 Accounts Payable - January 1 Merchandise purchases in: January February March Total cash paid for merchandise 81,600 58,800 294,000 235,200 321,000 321,000 $ 60,000 $ 305,400 $ 140,400 $ 556,200 March $ 182,616 504,678 687,294 DIMSDALE SPORTS CO. Cash Budget January, February, and March 2020 January February Beginning cash balance $ 36,500 $ 31,700 Cash receipts from customers 201,950 678,746 Total cash available 238,450 710,446 Cash payments for Merchandise (60,000) (305,400) Purchase of land General & administrative 11,000 11,000 salaries Maintenance expense 2,200 2,200 Sales commissions 76,950 108,300 Sales salaries 5,000 5,000 Interest on bank loan (130) Taxes payable (140,400) (165,000) 11,000 2,200 125,400 5,000 (92,000) (253,800) 119,894 Total cash payments Preliminary cash balance Additional loan (loan repayment) Ending cash balance 35,020 (178,900) 44,700 X 182,616 (13,000) 31,700 $ 182,616 $ $ 119,894 March $ Loan balance January February $ 13,000 $ 0 (13,000) $ 0 $ 0 $ Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month 0 $ 0 Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 6 Calc Cash Bud Required 7 Required 8 Budgeted income statement for the entire first quarter (not for each month). (Round your final answers to the nearest whole dollar.) $1,553,250 DIMSDALE SPORTS CO. Budgeted Income Statement For Three Months Ended March 31, 2020 Sales Cost of goods sold Gross profit Operating expenses Sales commissions expense Sales salaries expense General administrative salaries Maintenance expense Depreciation expense Interest expense 0 0 Total operating expenses Income before taxes Income taxes payable Net income $ 0 Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 6 Calc Cash Bud Required 7 Required 8 Budgeted balance sheet as of March 31, 2020. (Round your final answers to the nearest whole dollar.) >> BO 0 DIMSDALE SPORTS CO. Budgeted Balance Sheet March 31, 2020 Assets Cash Accounts receivable Merchandise Inventory Total current assets Land Equipment Accumulated depreciation Equipment, net Total assets Liabilities and Equity Liabilities Accounts payable Bank loan payable Income taxes payable Total liabilities Stockholders' Equity Common stock Retained earnings Total Stockholders' Equity Total Liabilities and Equity