Please complete the income statement for September and October in the same format given as the balance sheet given below please 1 Ending Balance of Long Term Debt for September and October 2 Ending Balance of Retained Earnings for September and October 3 Total Cash Surplus (Deficit) for September and October 4 New Borrowing Payments for October The Bobcat Beverage Co , Inc Sales Forecast for Sept to Nov , 2021 Sales Revenue (all Sales are on Credit) September October November $800,000 $900,000 $980,000 Bobcat Beverage Company, Inc Balance Sheet As of August 31, 2021 Assets Liabilities Cash $ 25,800 Accounts payable $ 81,859 Accounts receivable 595,000 Sales commissions payable 59,500 Inventory 50,688 Advertising Expense Payable 121,250 Prepaid Insurance 27,500 Income taxes payable 22,000 Current assets $ 698,988 Dividends payable 0 Current liabilities $ 284,609 Property, Plant Equipment Long term debt 220,000 Land 100,000 Plant Equipment 300,000 Stockholders' equity Accumulated depreciation (100,000) Common stock $ 89,500 Retained earnings 404,879 Total assets $ 998,988 Total SE Liabilities $ 998,988 Policies and Plans used by The Bobcat Beverage Company, Inc , in budgeting All Sales are on Credit Sales are collected 24 in the month of sale and 76 in the month following sale Cost of goods sold is budgeted to be 44 of sales The Bobcat Beverage Company, Inc plans to end each month with inventory levels equal to 8 of the next months cost of sales The company pays for 78 of the purchases of merchandise in the month of the purchase and 22 in the following month The Bobcat Beverage Company, Inc pays a sales commission of 6 5 on all sales The selling commission is paid in the month after the salesmen earn the commission The company believes that advertising expense is a mixed cost Based on an analysis of data from previous years, they determine that the best estimate of advertising expense is 17 5 of sales plus $60,000 The company pays all of its advertising expense in the month AFTER it is incurred The Bobcat Beverage Company, Inc estimates its general and administrative expenses to be equal to 15 of budgeted sales plus $60,000 The general and administrative expenses are paid in the month in which they are incurred Depreciation is $10,000 per month on the property, plant and equipment owned on August 31, 2021 for the period of this budget On July 31, 2021 , the company purchased and paid cash of $30,000 for a twelve month policy covering the period August 1, 2021 to July 31, 2022 and recorded the cost in Prepaid Insurance On September 15, 2021, the company purchased Land for $130,000, paying cash The Bobcat Beverage Company, Inc records interest expense and accrues interest payable at the rate of 1 per month (simple interest) based on the beginning balance of Long Term Debt for that month The Bobcat Beverage Company, Inc will pay interest in the month it is incurred The Bobcat Beverage Company must maintain a minimum cash balance of $25,000 If it must borrow any funds, it must borrow in $1,000 increments Any excess cash will be used to pay down long term debt The company may either borrow funds or repay funds, but not both in the same month The Bobcat Beverage Company, Inc records income tax expense and accrues income tax payable monthly using a 25 estimated tax rate Income taxes are paid in the month AFTER they are incurred The company will declare a cash dividend on September 20, 2021 for $25,000 The cash dividend will be paid on October 15, 2021 No other dividends were declared or paid

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Please complete the income statement for September and October in the same format given as the balance sheet given below please

1. Ending Balance of Long-Term Debt for September and October

2. Ending Balance of Retained Earnings for September and October

3. Total Cash Surplus (Deficit) for September and October

4. New Borrowing Payments for October

The Bobcat Beverage Co., Inc. Sales Forecast for Sept. to Nov., 2021
Sales Revenue (all Sales are on Credit)	September	October	November
Sales Revenue (all Sales are on Credit)	$800,000	$900,000	$980,000

Bobcat Beverage Company, Inc

Balance Sheet

As of August 31, 2021

Assets:		Liabilities:
Cash	$ 25,800	Accounts payable	$ 81,859
Accounts receivable	595,000	Sales commissions payable	59,500
Inventory	50,688	Advertising Expense Payable	__ 121,250
Prepaid Insurance	27,500	Income taxes payable	__ 22,000
Current assets	$ 698,988	Dividends payable	0
		Current liabilities	$ 284,609


Property, Plant & Equipment		Long-term debt	220,000
Land	100,000
Plant & Equipment	300,000	Stockholders' equity
Accumulated depreciation	(100,000)	Common stock	$ 89,500
		Retained earnings	404,879
Total assets	$ 998,988	Total SE & Liabilities	$ 998,988

Policies and Plans used by The Bobcat Beverage Company, Inc., in budgeting

All Sales are on Credit. Sales are collected 24% in the month of sale and 76% in the month following sale.

The Bobcat Beverage Company, Inc. plans to end each month with inventory levels equal to 8% of the next months cost of sales.

The company pays for 78% of the purchases of merchandise in the month of the purchase and 22% in the following month.

The Bobcat Beverage Company, Inc. pays a sales commission of 6.5% on all sales. The selling commission is paid in the month after the salesmen earn the commission.

The company believes that advertising expense is a mixed cost. Based on an analysis of data from previous years, they determine that the best estimate of advertising expense is 17.5% of sales plus $60,000.

The company pays all of its advertising expense in the month AFTER it is incurred.

The Bobcat Beverage Company, Inc. estimates its general and administrative expenses to be equal to 15% of budgeted sales plus $60,000. The general and administrative expenses are paid in the month in which they are incurred.

Depreciation is $10,000 per month on the property, plant and equipment owned on August 31, 2021 for the period of this budget.

On July 31, 2021, the company purchased and paid cash of $30,000 for a twelve-month policy covering the period August 1, 2021 to July 31, 2022 and recorded the cost in Prepaid Insurance.

The Bobcat Beverage Company, Inc. records interest expense and accrues interest payable at the rate of 1% per month (simple interest) based on the beginning balance of Long-Term Debt for that month. The Bobcat Beverage Company, Inc. will pay interest in the month it is incurred.

The Bobcat Beverage Company must maintain a minimum cash balance of $25,000. If it must borrow any funds, it must borrow in $1,000 increments. Any excess cash will be used to pay down long-term debt. The company may either borrow funds or repay funds, but not both in the same month.

The Bobcat Beverage Company, Inc. records income tax expense and accrues income tax payable monthly using a 25% estimated tax rate. Income taxes are paid in the month AFTER they are incurred.

The company will declare a cash dividend on September 20, 2021 for $25,000. The cash dividend will be paid on October 15, 2021. No other dividends were declared or paid.