SB Exerclse 8-12 through Exerclse 8-13 (Algo) [The following information applles to the questlons displayed below.] Beech Corporation is a merchandising company that is preparing a master budget for the third quarter of the calendar year. The company's balance sheet as of June 30th is shown below: Exercise 8-12 (Algo) Schedules of Expected Cash Collections and Disbursements; Income Statement; Balance Sheet [LO8-2, L08-4, LO8-9, LO8-10] Beech's managers have made the following additional assumptions and estimates: 1. Estlmated sales for July, August, September, and October will be $260,000,$280,000,$270,000, and $290,000, respectlvely. 2. All sales are on credit and all credit sales are collected. Each month's credit sales are collected 35% in the month of sale and 65% in the month following the sale. All of the accounts recelvable at June 30 will be collected in July. 3. Each month's ending Inventory must equal 25% of the cost of next month's sales. The cost of goods sold is 70% of sales. The company pays for 40% of Its merchandise purchases in the month of the purchase and the remalning 60% in the month following the purchase. All of the accounts payable at June 30 will be pald In July. 4. Monthly selling and administrative expenses are always $48,000. Each month $5,000 of this total amount is depreclation expense and the remaining $43,000 relates to expenses that are pald in the month they are Incurred. 5. The company does not plan to borrow money or pay or declare dividends during the quarter ended September 30. The company does not plan to Issue any common stock or repurchase its own stock durlng the quarter ended September 30. Required: 1. Prepare a schedule of expected cash collectlons for July, August, and September. 2-a. Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30. 2-b. Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September. 3. Prepare an Income statement that computes net operating Income for the quarter ended September 30. 4. Prepare a balance sheet as of September 30