please solve in excell

b. d. e. PROBLEM 8-29 Completing a Master Budget LOS-2, LOS-4, LOS-7, LOS-8, LO8-9, LOB-10 The following data relate to the operations of Shilow Company, a wholesale distributor of con- sumer goods: g. h. Actual and budgeted sales data: a. The gross margin is 25% of sales. March (actual).. April. Current assets as of March 31: Cash May June. July Accounts receivable. Inventory... Building and equipment, net. Accounts payable. Common stock.. Retained earnings. $50,000 $60,000 $72,000 $90,000 $48,000 $8,000 $20,000 $36,000 $120,000 $21,750 $150,000 $12,250 c. Sales are 60% for cash and 40% on credit. Credit sales are collected in the month following sale. The accounts receivable at March 31 are a result of March credit sales. Master Budgeting Each month's ending inventory should equal 80% of the following month's budgeted cost of goods sold. One-half of a month's inventory purchases is paid for in the month of purchase; the other half is paid for in the following month. The accounts payable at March 31 are the result of March purchases of inventory. f. Monthly expenses are as follows: commissions, 12% of sales; rent. $2.500 per month; other expenses (excluding depreciation), 6% of sales. Assume that these expenses are paid monthly. Depreciation is $900 per month (includes depreciation on new assets). Equipment costing $1.500 will be purchased for cash in April. Management would like to maintain a minimum cash balance of at least $4,000 at the end of each month. The company has an agreement with a local bank that allows the company to borrow in increments of $1,000 at the beginning of each month, up to a total loan balance of $20,000. The interest rate on these loans is 1% per month and for simplicity we will assume that interest is not compounded. The company would, as far as it is able, repay the loan plus accumulated interest at the end of the quarter. 408 Required Using the preceding data: 1. Complete the following schedule Schedule of Expected Cash Colections Cash sales Credit sales Total collections. 2. Complete the following: Merchandise Purchases Budget Budgeted cost of goods sold. Add desired ending inventory Total needs Less beginning inventory.. Required purchases. March purchases. April purchases May purchases. June purchases.. Total disbursements. $36,000 20.000 $56.000 For Apr sales $00.000 sales x 75% cost $45.000 $54.000x80%-$43,200 Chapter 8 Apri May $45,000 $54,000 43.200 Schedule of Expected Cash Disbursements-Merchandise Purchases 88.200 36.000 $52.200 Cash Budget April $21.750 26,100 $26,100 547,850 3. Complete the following cash budget Beginning cash balance... Add cash collections. Total cash available.... Less cash disbursements For inventory For expenses.. For equipment. Total cash disbursements.. Excess (deficiency) of cash. Financing Etc. June June June Quarter Quarter $21.750 52.200 Apri $8.000 56.000 64.000 Quarter 47,850 13,300 1.500 62.650 1,350 May June Quarter 4. Using Schedule 9 as your guide, perpare an absorption costing income statement for the quar ter ended June 30, 5. Prepare a balance sheet as of June 30