The management accountant, with assistance from the production and sales managers, has obtained the following estimated information about Veras Fishes (a shop selling exotic pet fish and fish supplies) in order to prepare the budgeted income statement for July 2017:

1-Estimated sales for July- August:

	JULY Units	AUGUST Units	Average Selling Price per unit
Fish tanks	320	330	$150
Tank filters	380	390	$40
Fish food (tubs)	600	600	$30
Livestock	800	820	$20
(average price)

Sales are 90% cash sales. Credit sales are collected in the month following sale.

2- Opening inventories were:

	Units	Average cost per unit
Fish tanks	90	$75
Tank filters	115	$20
Fish food (tubs)	180	$15
Livestock	250	$10

Desired ending inventories are 30% of next months sales (in units).

In any month an estimated 5% of opening livestock dies before being sold due to the poor condition of some fish arriving from the supplier. Inventory loss is written off as part of the cost of goods sold by inclusion in purchases. Purchases are paid for the month following purchase.

3- Operating expenses budgeted for July are:

Wages sales staff	$6,000
Advertising	$1200
Supplies used	$150
Rent for month	$2,000
Telephone & electricity	$300
Depreciation of fixtures	$200

The supplies used were part of supplies purchased for cash in June 2017. All other expenses are paid as incurred.

4- Accounts receivable as at 30^th June 2017 were $9,100

5- Accounts payable as at 30^th June 2017 were $40,945

6- The cash at bank balance at 30^th June 2017 was $6,000 debit (overdrawn)

Required

1-Prepare a sales budget for July. (3 marks)

2-Prepare a purchases budget for July. (7 marks)

3-Prepare a budgeted income statement for July. (9 marks)

4-Prepare a cash budget for July. (9 marks)

Round all amounts to nearest whole number. Ignore GST.