Problem 20-4B

Manufacturing:Preparation of a complete master budget

P1 P2 P3

The management of Nabar Manufacturing prepared the following balance sheet for June 30.

NABAR MANUFACTURING Balance Sheet June 30 Assets Liabilities and Equity Cash . . . . . . $ 40,000 Liabilities Accounts receivable ... . . .. . 248,920 Accounts payable . .. ...... $ 51.400 Raw materials inventory. . . . . . . . 35,000 Income taxes payable . . . ... 10,000 Finished goods inventory. . ... ... 241,080 Loan payable . . . . . . . .. . . 24,000 Long-term note payable . 300,000 $ 385,400 Equipment. . . .... $720,000 Equity Less: Accumulated depreciation . . 240,000 480,000 Common stock . . .. 600,000 Retained earnings . . . ... . 59.600 659.600 Total assets . .... $1,045,000 Total liabilities and equity . . . . . . $1,045,000