Required A Required B Required C Required D Required ERequired F Required G October sales are estimated to be $280,000, of which 45 percent will be cash and 55 percent will be credit. The company expects sales to increase at the rate of 25 percent per month. Prepare a sales budget. October November December Sales Budget Cash sales Sales on account Total budgeted sales $26,000 157,500$196,875 240,625 $280,000 S 350,000437,500 154,000 192,500 Required A Required B Required B Required ARequired B Required C Required D Required E Required F Required G The company expects to collect 100 percent of the accounts receivable generated by credit sales in the month following the sale. Prepare a schedule of cash receipts. October November December Schedule of Cash Receipts Current cash sales Plus collections from A/R Total collections $26,000 157,500 196,875 192,500 $ 126,000$311,500 S 389,375 154,000 Required A Required C Required A Required B Required C Required D Required E Required F Required G The cost of goods sold is 60 percent of sales. The company desires to maintain a minimum ending inventory equal to 10 percent of the next month's cost of goods sold. However, ending inventory of December is expected to be $13,600. Assume that all purchases are made on account. Prepare an inventory purchases budget. October November December Inventory Purchases Budget Budgeted cost of goods sold $168,000210,000 $ 262,500 13,600 276,100 26,250 $ 189,000 $ 215,250 $ 249,850 lus: Desired ending inventory Inventory needed 21,000 26,250 236,250 21,000 189,000 ess: Beginning inventory Required purchases (on account) Required B Required D > Required A Required B Required C Required D R RequiredF Required G Prepare a selling and administrative expenses budget October November December Selling and Administrative Expense Budget Salary expense Sales commissions Supplies expense Utilities Depreciation on store fixtures Rent Miscellaneous Total S&A expenses 19,600 21,875 8,750 3,000 5,600 6,400 2,800 68,025 19,600 $ 19,600 S 14,000 5,600 3,000 5,600 6,400 2,800 17,500 7,000 3,000 5,600 6,400 2,800 61,900 $ $ 57,000 $ Required D Required F >