Problem 22-4A Manufacturing: Preparation of a complete master budget LO P1, P2, P3 The management of Zigby Manufacturing prepared the following estimated balance sheet for March 2019: ZIGBY MANUFACTURING Estimated Balance Sheet March 31, 2019 Assets Cash Accounts receivable Raw materials inventory Finished goods inventory Total current assets Equipment Accumulated depreciation Equipment, net Total assets Liabilities and Equity Accounts payable Short-tert notes payable Total current liabilities Long-terminate payable Total liabilities STO STOCK Retained earnings total stockholders equity Total liabilities and uity 40,000 342, 248 98,500 325, 5de 886,288 68e, eae .500 , 450. S 1256,288 2000 212.508 Sud, de To prepare a master budget for Apr May, on June 2019. management gathers the following information March 20.500 units Forecasted sales are TOLOWS MIDI 49,500: MAY 79.500 June 20.000 anos Las 240.000 ute foretage for the c once n a. Sales for March total 20.500 units. Forecasted sales in units are as follows: April, 20,500: May, 19,500, June, 20,000, and July 20,500. Sales of 240,000 units are forecasted for the entire year. The product's selling price is $23.85 per unit and its total product cost is $19.85 per unit b. Company policy calls for a given month's ending raw materials inventory to equal 50% of the next month's materials requirements The March 31 raw materials inventory is 4.925 units, which complies with the policy. The expected June 30 ending raw materials Inventory is 4,000 units. Raw materials cost $20 per unit. Each finished unit requires 0.50 units of raw materials c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's expected unit Sales The March 31 finished goods inventory is 16,400 units, which complies with the policy. d. Each finished unit requires 0.50 hours of direct labor at a rate of $15 per hour e. Overhead is allocated based on direct labor hours. The predetermined variable overhead rate is $270 per direct labor hour Depreciation of $20,000 per month is treated as foxed factory overhead 1. Sales representatives commissions are 8% of sales and are paid in the month of the sales. The sales manager's monthly salary is $3.000. g. Monthly general and administrative expenses include $12.000 administrative salaries and 0.9% monthly interest on the long-term note payable. h. The company expects 30% of sales to be for cash and the remaining 70% on Credit Receivables are collected in full in the month following the sale (none are collected in the month of the sale 1. All raw materials purchases are on Credit and no payables or se from any other transactions One month's raw materiais purchases are fully paid in the next month 1. The minimum ending cash balance for all months 5 540.000 necessary, the company borrows enough cash using a short-term note to reach the minimum Short-term notes require an interest payment of that each month-end before any repayment. If the ending cash balance exceeds the min mum, the excess will be applied to repaying the short-term notes payable balance. k. Dividends of 510.000 are to be declared and bald in May 1. No cash payments for income taxes are to be made during the second calenderuare Income tax will be assessed at 35% in the Quarter and paid in the third calendar Quarter m. Ecument purchases of $130.000 are budgeted for the story of June Required: Prepare the following budgets and other financial Informations required. A budgets and other and information should be prepared for the second coenos Quarter exceptos otherwise noted below. Round calculations up to the nearest whole collar excest for the amount of cash sales which should be rounded down to the nearest whole dalla Prey 2 of 2 ille 100 points Required: Prepare the following budgets and other financial information as required. All budgets and other financial Information should be prepared for the second calendar quarter, except as otherwise noted below. (Round calculations up to the nearest whole dollar, except for the amount of cash sales, which should be rounded down to the nearest whole dollar. 1. Sales budget 2. Production budget 3. Raw materials budget 4. Direct labor budget 5. Factory overhead budget 6. Selling expense budget 7. General and administrative expense budget 8. Cash budget 9. Budgeted Income statement for the entire second quarter (not for each month separately 10. Budgeted balance sheet Answer is not complete. Complete this question by entering your answers in the tabs below. Required Round 2 Ruined Regined Red 6 Regined Red R ed 9 Revid 10 Cash budget.Negative balance and Loan repayment amount t h ould be indicated with mung Calculation of Cash receipts from customers 309 April 43. 40073 514.24 May June 0 405. 4 .000 1363 13.00 3255821 333.900 Check my work mode: This shows what is correct or incorrect for the work you have completed for it does not Budgeted income statement for the entire second quarter (not for each month separately). (Round your final answers to the nearest whole dollar) AGAY MANUFACTURING For Three Months Ended June 30, 2019 Total Operating perses Check my work mode: This shows what is correct or incorrect for the work you have completed for it does not Budgeted income statement for the entire second quarter (not for each month separately). (Round your final answers to the nearest whole dollar) AGAY MANUFACTURING For Three Months Ended June 30, 2019 Total Operating perses