solve for third quarter

9. Gridley desires to maintain a minimum cash balance of $45,000 and borrows from the local bank as needed in increments of $1,000 at the beginning of the quarter: principal repayments are made at the beginning of the quarter when excess funds are available and in increments of $1,000; interest is 6% per year and paid at the beginning of the quarter based on the amount outstanding from the previous quarter. Total Total sales First Second | Third Fourth Quarter Quarter Quarter Quarter $ 126,000|133,000||$ 140,000 $ 147,000 $ First Second Third Fourth Quarter Quarter Quarter Quarter 546,000 Total $ Cash Receipts from Customers: Accounts Receivable balance, December 31, 2018 1st Qtr.Cash sales 1st Qtr.-Credit sales, collection of Qtr. 1 sales in Qtr. 1 1st Qtr.-Credit sales, collection of Qtr. 1 sales in Qtr. 2 2nd Qtr.Cash sales 2nd Qtr.-Credit sales, collection of Qtr. 2 sales in Qtr. 2 2nd Qtr.Credit sales, collection of Qtr. 2 sales in Qtr. 3 3rd Qtr.Cash sales 3rd Qtr.Credit sales, collection of Qtr. 3 sales in Qtr. 3 3rd Qtr.Credit sales, collection of Qtr. 3 sales in Qtr. 4 4th Qtr.Cash sales 4th Qtr.-Credit sales, collection of Qtr. 4 sales in Qtr. 4 22,000 12,600 73,710 $ 39,690 13,300 77,805 $ 41,895 14,000 81,900 $ 44,100 14,700 85,995 108,310 $ 130,795 $ 137,795 $144,795 $ Total cash receipts from customers $ 521,695 Accounts Receivable balance, December 31, 2019: 4th Qtr.Credit sales, collection of Qtr. 4 sales in Qtr. 1 of 2020 $ 46,305 Cash Payments First Total Total direct materials purchases Second Third Fourth Quarter Quarter Quarter Quarter 20,432||$ 15,600||$ 16,400||$ 16,208$ First Second Third Fourth Quarter Quarter | Quarter Quarter | 68,640 Total $ 1 7,500| 2,259| S Cash Payments Direct Materials: Accounts Payable balance, December 31, 2018 1st Qtr.-Qtr. 1 direct material purchases paid in Qtr. 1 1st Qtr.-Qtr. 1 direct material purchases paid in Qtr. 2 2nd Qtr.-Qtr. 2 direct material purchases paid in Qtr. 2 2nd Qtr.Qtr. 2 direct material purchases paid in Qtr. 3 3rd Qtr. Qtr. 3 direct material purchases paid in Qtr. 3 3rd Qtr. Qtr. 3 direct material purchases paid in Qtr. 4 4th Qtr.-Qtr. 4 direct material purchases paid in Qtr. 4 8,173| 9,360 $ 6,240 9,840 $ 6,560 9,725 16,285$ 19,759 17,533 16,080 || 69,657 Total payments for direct materials Direct Labor: Total payments for direct labor 13,776 10,864 11,424 11,984 48,048 Manufacturing Overhead: Variable manufacturing overhead 4,920 3,880 4,080 4,280| 17,160 Manufacturing Overhead: Variable manufacturing overhead Utilities, insurance, property taxes Total payments for manufacturing overhead 4,920 20,240 25,160 3,880 20,240 24,120 4,080 20,240 24,320 4,280 20,240 24,520 17,160 80,960 98,120 Selling and Administrative Expenses: Salaries Expense Rent Expense Insurance Expense Supplies Expense Total payments for Selling and Admin. expenses 13,000 5,100 1,800 1,260 21,160 13,000 5,100 1,800 1,330 21,230 13,000 5,100 1,800 1,400 21,300 13,000 5,100 1,800 1,470 21,370 52,000 20,400 7,200 5,460 85,060 Income Taxes: Total payments for income taxes 3,000 3,000 3,000 3,000 12,000 Capital Expenditures: 45,000 45.000 Total payments for capital expenditures $ Total cash payments (before interest) 127,855||$ 76,747||$ 76,124 $ 77,159||$ 357,885 Accounts Payable balance, December 31, 2019: 4th Qtr. Qtr. 4 direct material purchases paid in Qtr. 1 of 2020 6,483 First Second Third Quarter Beginning cash balance Quarter Quarter $ 48,000 $ 45,455 108,310 | 130,795 82248 156,310 176,250 Cash receipts Cash available Cash payments: Capital expenditures Purchases of direct materials Direct labor Manufacturing overhead Selling and administrative expenses Income taxes 45,000 19,759 13,776 25,160 21,160 3,000 17,533 10,864 24,120 21,230 3,000 255 77,002 99,248 (45,000) 54.248 Interest expense 127,855 Total cash payments Ending cash balance before financing 28,455 (45,000) | (16,545) Minimum cash balance desired Projected cash excess (de ciency) Financing Borrowing Principal repayments 17,000 00 01 (17,000) 17,000 (17,000) 45,455 $ 82,248 Total effects of financing Ending cash balance $ 82.248