Part IIBudgeting (30 points) Stumphouse Cheese Company is a wholesale distributor of blue cheese and ice cream. The following information is available for July 20xx. Estimated Sales Blue cheese Ice cream 160,000 hoops at $10 each 240,000 gallons at $5 each Beginning Ending Blue cheese Ice cream 10,000 4,000 12,000 5,000 Blue cheese Ice cream $8 per hoop $2 per gallon Beginning cash balance is $400,000. Purchases of merchandise are paid 60 percent in current month and 40 percent in following month. Purchases totaled $1,800,000 in June. Employee wages, salaries, and commissions are paid for in current month. Employee expenses for July totaled $156,000. Overhead expenses are paid in the next month. The accounts payable for these expenses from June is $80,000 Sales are on credit and are collected 70 percent in current period and 29 percent in the next period. June's sales were $3,000,000. Bad debts average 1 percent of sales. Selling and administrative expenses are paid monthly and total $450,000 including $40,000 of depreciation. Required: Prepare the following for July: (1) (2) (3) Sales budget in dollars Purchases budget Cash budget stoteme A Pro Forma incoma sto