Required information [The following information applies to the questions displayed below.) Built-Tight is preparing its master budget for the quarter ended September 30. Budgeted sales and cash payments for product costs for the quarter follow: July August September $64,000 $80,000 $ 48,000 Budgeted sales budgeted cash payments for Direet materials Direct labor Factory overhead 16,160 4,040 20,200 13,440 3,360 16,800 13,760 3,440 17,200 Sales are 20% cash and 80% on credit. All credit sales are collected in the month following the sale. The June 30 balance sheet includes balances of $15,000 in cash: $45,000 in accounts receivable; and a $5,000 balance in loans payable. A minimum cash balance of $15,000 is required. Loans are obtained at the end of any month when a cash shortage occurs. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. If an excess balance of cash exists, loans are repaid at the end of the month Operating expenses are paid in the month incurred and consist of sole commissions (10% of sales), office salaries ($4,000 per month), and rent (56,500 per month) Direct labor Factory overhead 4,040 20,200 3,360 16,800 3,440 17,200 Part 1 of 2 Sales are 20% cash and 80% on credit. All credit sales are collected in the month following the sale. The June 30 balance sheet includes balances of $15,000 in cash: $45,000 in accounts receivable; and a $5,000 balance in loans payable. A minimum cash balance of $15,000 is required. Loans are obtained at the end of any month when a cash shortage occurs. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. If an excess balance of cash exists, loans are repaid at the end of the month Operating expenses are paid in the month incurred and consist of sales commissions (10% of sales), office salaries ($4,000 per month), and rent ($6,500 per month) 8 points Book 1. Prepare a cash receipts budget for July, August, and September References BUILT-TIGHT Cash Receipts Budget For July August, and September July August September Sales $ 64,000 $ 80.000 s 48,000 Less ending accounts receivable 44.800 57,600 44,800 Cash receipts om Cash sales 19.200 22,400 3,200 Collections of prior month's receivables 44,700 44 800 57,600 Total cash receipts $ 63,900 5 67,200 $ 60,800 MC Le quarel ended September 30. Budgeted sales and cash payments for product costs for the quarter follow: 8 points July August September $64,000 $80,000 $ 48,000 Hudgeted sales Budgeted cash payments for Direct materiais Direct Tabor Factory overhead Book 16,160 4,040 20,200 13,440 3,360 16,800 13,760 3,440 17,200 References Sales are 20% cash and 80% on credit. All credit sales are collected in the month following the sale. The June 30 balance sheet includes balances of $15,000 in cash: $45,000 in accounts receivable, and a $5,000 balance in loans payable. A minimum cash balance of $15.000 is required. Loans are obtained at the end of any month when a cash shortage occurs Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each molith-end. If an excess balance of cash exists, loans are repaid at the end of the month Operating expenses are paid in the month incurred and consist of sales commissions (10% of sales), office salaries ($4,000 per month), and rent ($6,500 per month). 2. Prepare a cash budget for each of the months of July, August, and September (Negative balances and Loan repayment amounts (if any) should be indicated with minus sign. Enter your final answers in whole dollars.) BUILT TIGHT Cash Budget For July August, and Sepinmber July August September Beginning cash balance ME G 8 So 9 Do $ 2 3 4 % 5 6 & 7 8 8 Prepare budgeted income statements for each of the months of January, February, and March that show the expected results from implementing the proposed changes. (Enter your final answers in whole dollars.) 10 points MERLINE MANUFACTURING Budgeted Sales For Month of January February, and March, 2020 January February Sicoed March Book Budgeted sales in dollars) Print MERLINE MANUFACTURING Budgeted Income Statement For Month of January February, and March, 2020 January February Masch Expono Salus commons Advertising Stoceront Administrative salaries Depreciation - Oficement Other speses 0 0 $ $ 0 O 05