please solve all 7 requirement, it all one long question; help me to get results with explanation and formulas how to get all numbers
Requirement 1. Prepare the sales budget for November and December. Nickel Saver Store Data table - October sales are projected to be $340,000. - Sales are projected to increase by 15% in November and another 20% in December and then return to the October level in January. - 20% of sales are made in cash while the remaining 80% are paid by credit or debit cards. The credit card companies and banks (debit card issuers) charge a 5% transaction fee, and deposit the net amount (sales price less the transaction fee) in the store's bank account daily. The store does not accept checks. Because of the payment mechanisms, there is no risk of non-payment or bad-debts. - The store's gross profit is 25% of its sales revenue. - For the next several months, the store wants to maintain an ending merchandise inventory equal to $14,000 plus 10% of the next month's cost of goods sold. All purchases for merchandise are made on account and paid in the month followina the ourchase. The September 30 inventorv is expected to Data table - For the next several months, the store wants to maintain an ending merchandise inventory equal to $14,000 plus 10% of the next month's cost of goods sold. All purchases for merchandise are made on account and paid in the month following the purchase. The September 30 inventory is expected to be $39,500. - Expected monthly operating expenses and details about payments include the following: - Wages of store workers should be $7,400 per month and are paid on the last day of each month. - Utilities expense is expected to be $500 per month in September, October, and November. - Utilities expense is expected to be $1,700 per month during the colder months of December, January, and February. - All utility bills are paid the month after incurred. Requirement 4. Prepare the budgeted income statement for November and December. Review the budgets prepared in Requirements 1,2, and 3 . Requirement 3. Prepare the operating expense budget for November and December Requirement 2. Prepare the cost of goods sold, inventory, and purchases budget for Novernber and December. Review the cash colections and cash payments budgets prepared in Requirements 5 and 6 . Requirement 6. Prepare the cash payments budget for Novernber and Docember (it no cash payment is made, make sure to enfer "o" in the appropriafe cell) Review the budgets prepared in Requirements 1,2 , and 3 . or December, January, and rebruary. - All utility bills are paid the month after incurred. - Property tax is $28,800 per year and is paid semiannually each December and June. - Property and liability insurance is $21,600 per year and is paid semiannually each January and July. - Depreciation expense is $180,000 per year; the straight-line method used. - Transaction fees, as stated earlier, are 5% of credit and debit card sales. - Cash dividends of $220,000 are to be paid in December. - Assume the cash balance on October 31 is $50,000. The company wants to maintain a cash balance of at least $50,000 at the end of every month. - The company has arranged a line of credit with a local bank at a 6% interest rate. There is no outstanding debt as of October 31. Requirement 5. Prepare the cash collections budget for November and December. Review the sales budget prepared in Requirement 1
