1. PDCs sales are projected to be $80,000 in September 2020.
   1. Prepare PDCs sales schedule, purchases schedule, and wages schedule for August 2020.
   2. Prepare a cash budget for August 2020 for PDC and describe how the forecast affects the end-of-the-month cash balance.

(A) SALES SCHEDULE MAY JULY AUGUST 92,000 APRIL TO JULY 552,000 MARCH 92,000 36,800 55,200 APRIL 115,000 46,000 69,000 184,000 73,600 110,400 JUNE 138,000 55,200 82,800 115,000 46,000 69,000 Schedule 1: Sales Forecast Credit sales,40% Cash sales, 60% Schedule 2: Cash Collections Cash sales this month 100% of last month's credit sales Total collections 69,000 110,400 82,800 69,000 36.800 55.200 46,000 156,400 73,600 156,400 105,800 124.200 (B) PURCHASES SCHEDULE MARCH APRIL MAY APRIL TO JULY JUNE JULY 386.400 Schedule 3: Purchases Ending inventory Cost of goods sold Total needed Beginning inventory Purchases Schedule 4. Purchase Disbursements 50% of last month's purchases 50% of this month's purchases Disbursements for purchases 110,400 64.400 174,800 -97,520 77,280 149,040 80,500 229,540 110.400 119,140 123,280 128 800 252,080 - 149,040 103,040 110,400 96,600 207.000 -123,280 83,720 97,520 80.500 178,020 - 110.400 67 620 38,640 59570 98,210 59,570 51,520 111,090 51,520 41,860 93,380 41860 33,810 75,670 (C) WAGES AND COMMISSIONS SCHEDULE MARCH APRIL TO JULY APRIL MAY JUNE JULY 5,750 5,750 5,750 5,750 5,750 20,700 Schedule 5: Wages and Commissions Wages, all fixed Commissions (15% of current sales) Total Schedule 6: Disbursements - Wages and Commissions 50% of last month's expenses 50% of this month's expenses Total 13.800 19,550 17250 23.000 27 600 33,350 17.250 23,000 26,450 105,800 9.775 11.500 21,275 11,500 16.675 28,175 16,675 13,225 29,900 13,225 11,500 24,725 D) CASH BUDGET APRIL MAY 23,000 23,000 JUNE 23.000 JULY 23,000 105.800 128,800 156,400 179,400 156,400 179,400 124,200 147,200 Beginning cash balance Cash receipts: Collections from customers Total cash available for needs before financing Cash disbursements: Merchandise Wages and commissions Miscellaneous expenses Rent Truck purchase Total disbursements Minimum cash balance desired Total cash needed Excess of total cash Financing New borrowing Repayments Loan balance Interest Total effects of financing Cash balance 98,210 21,275 5,750 4.600 6.900 136,735 23,000 159,735 -30,935 111,090 28,175 9,200 4,600 0 153,065 23,000 176,065 3,335 93,380 29,900 6.900 4,600 0 134,780 23.000 157,780 21,620 75,670 24,725 5,750 4,600 0 110,745 23,000 133,745 13,455 30,935 30,935 0 30,935 23,000 0 2,871 28,064 464 -3,335 23,000 21,199 6,865 421 -21.620 23.000 6,865 0 103 -6,968 29,487