The controller of Mercury Shoes Inc instructs you to prepare a monthly cash budget for the next three month. You are rented with the following ble formation July August Sales 5160,000 $185.000 $200,000 Manufacturing costs 66.000 82.000 105,000 Selling and administrative expenses 40,000 46,000 S1000 Capital expenditures 120,000 The company expects to sell about 10% of its merchandise for cash Of les count, 60% aspected to bected in the month on the sand the reader the Following month (second month after sale). Depreciation Insurance, and property tax expense represent $12.000 Med mounting at the premium is pond in February, and the annual property taxes are paid in November of the remainder of the manufacturing costs, expected to be pediathe month in which they are curred and the balance in the following month Current assets as of June include cash of $12,000, marketable securities of $25,000, and accounts receivable of $190.000 (8150,000 from May sales and $48.000 from April Sales on account in April and May were $120,000 and $150,000, respectively. Current habis she dude $13,000 prebil incurred in May for anledning costs. All selling and administrative expenses are paid cash in the period they are curred. An estimated comparant of $24,000 will be made why. Hercury regular quarterly dividend of $15,000 is expected to be declared in July and paid in August Management des to maintain a minimum cash balance of $40,000 Required: 1. Prepare a monthly cash budget and supporting schedules for June, July, and August. Enter all amounts as positive numbers except for Cash (decream) and (cency). minus sign to indicate an overall cash decrease and deficiency Mercury Shoes Inc Cash Budget For the Three Months Ending August 31 eBook Show Me How Calculator Mercury Shoes Inc, Cash Budget For the Three Months Ending August 31 June July Estimated cash receipts from: Cash sales Collection of accounts receivable August Total cash receipts Less estimated cash payments for: Manufacturing costs Selling and administrative expenses Capital expenditures QUI QU QJULI |: QUI QUI OUVOD Other purposes: Income tax Dividends Total cash payments Cash increase or (decrease) Plus cash balance at beginning of month Cash balance at end of month Less minimum cash balance Excess or (deficiency) Check My Work All work saved