Petra Paddles Company is budgeting for Quarter 3 (July, August and September). These are busy months, so it is important to get the numbers right and to come up with a good plan. This company sells kayaks and does 4-hour Kayak tours. Petra charges $120 for tours and kayaks are sold as a package for $3,000 each (includes a life jacket, a paddle, safety gear and the kayak). Based on last year's sales, Petra estimates that she will sell 12 kayaks in July, 7 in August and 5 in September. All of these are expected to be cash sales. Each kayak package costs $2,700. Every year, a large group of 20 people returns for a tour in July. This group has already prepaid for their booking. This tour and all other projected bookings are included below: 400 250 July August September 445+20 Budgeted number of tours to complete -465 50% of all regular tours, excluding the group booking, are made through booking companies (Hotwire, Expedia, etc.) and will be collected in the month following the tour date. In July and August, Petra will have 6 employees. Each will be scheduled to work 40 hours per week (assume 4 weeks in each month). Two of the employees make $20 per hour, the others make $15 per hour. Staff will be reduced considerably in September and she only expects to spend $5,000 in wages for that month. Each guest on a kayak tour gets a packed lunch. Starting in July, Yummy Bakery Company will supply all required lunches for $20 each. Petra will pay for 30% of the lunches in the month of purchase and the remainder in the following month. The washrooms in the shop are dismal and guests have been complaining, so Petra has decided to purchase a portable washroom. This trailer, pictured below, will cost $25,400. Although she has already ordered it, she will receive it in August. She plans to pay $5,000 cash, financing the rest with a 5% note, due in 3 years. Depreciation on the kayak equipment used for tours is $1,771 per month and depreciation on the new toilets will be $200 per month. Rent of $4,000 is paid at the beginning of each month. Petra Paddles Company is budgeting for Quarter 3 (July, August and September). These are busy months, so it is important to get the numbers right and to come up with a good plan. This company sells kayaks and does 4-hour Kayak tours. Petra charges $120 for tours and kayaks are sold as a package for $3,000 each (includes a life jacket, a paddle, safety gear and the kayak). Based on last year's sales, Petra estimates that she will sell 12 kayaks in July, 7 in August and 5 in September. All of these are expected to be cash sales. Each kayak package costs $2,700. Every year, a large group of 20 people returns for a tour in July. This group has already prepaid for their booking. This tour and all other projected bookings are included below: 400 250 July August September 445+20 Budgeted number of tours to complete -465 50% of all regular tours, excluding the group booking, are made through booking companies (Hotwire, Expedia, etc.) and will be collected in the month following the tour date. In July and August, Petra will have 6 employees. Each will be scheduled to work 40 hours per week (assume 4 weeks in each month). Two of the employees make $20 per hour, the others make $15 per hour. Staff will be reduced considerably in September and she only expects to spend $5,000 in wages for that month. Each guest on a kayak tour gets a packed lunch. Starting in July, Yummy Bakery Company will supply all required lunches for $20 each. Petra will pay for 30% of the lunches in the month of purchase and the remainder in the following month. The washrooms in the shop are dismal and guests have been complaining, so Petra has decided to purchase a portable washroom. This trailer, pictured below, will cost $25,400. Although she has already ordered it, she will receive it in August. She plans to pay $5,000 cash, financing the rest with a 5% note, due in 3 years. Depreciation on the kayak equipment used for tours is $1,771 per month and depreciation on the new toilets will be $200 per month. Rent of $4,000 is paid at the beginning of each month