The management of Zigby Manufacturing prepared the following balance sheet for March 31. ZIGBY MANUFACTURING Balance Sheet March 31 Assets Liabilities and Equity Cash $ 58,000 Liabilities Accounts receivable 440,370 Accounts payable $ 206, 400 Raw materials inventory 91,300 Loan payable 30,000 Finished goods inventory 393,304 Long-term note payable 500, 000 $ 736, 400 Equipment $ 636,000 Equity Less: Accumulated depreciation 168, 000 468,000 Common stock 353, 000 Retained earnings 361,574 714,574 Total assets $ 1, 450,974 Total liabilities and equity $ 1,450,974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow: April, 23,300; May, 17,000; June, 21,900; and July, 23,300. The product's selling price is $27.00 per unit and its total product cost is $21.10 per unit b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. . Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales. The March 31 finished goods inventory is 18,640 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. e. The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item. f. Sales commissions of 10% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g. Monthly general and administrative expenses include $30,000 for administrative salaries and 0.8% monthly interest on the long- term note payable. h. The company budgets 30% of sales to be for cash and the remaining 70% on credit Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale). i. All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase). j. The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28,000 are budgeted to be declared and paid in May. I. No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 35% in the quarter and budgeted to be paid in the third calendar quarter. m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget. 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Req I Req 2 Req 3 Req Req 5 Req 6 Req 7 Req B to 10 Req 11 Req 12 Sales budget. ZIGBY MANUFACTURING Sales Budgets April May June Budgeted sales units Selling price per unit Total budgeted sales Req 1 Req 2 >The management of Zigby Manufacturing prepared the following balance sheet for March 31. ZIGBY MANUFACTURING Balance Sheet March 31 Assets Liabilities and Equity Cash $ 58,000 Liabilities Accounts receivable 440, 370 Accounts payable $ 206, 400 Raw materials inventory 91,300 Loan payable 30,000 Finished goods inventory 393,304 Long-term note payable 500,000 $ 736, 400 Equipment $ 636,060 Equity Less: Accumulated depreciation 168,000 468,000 Common stock 353,000 Retained earnings 361,574 714,574 Total assets $ 1,450,974 Total liabilities and equity $ 1,450,974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow: April, 23,300; May, 17,000; June, 21,900; and July, 23,300. The product's selling price is $27.00 per unit and its total product cost is $21.10 per unit. b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales. The March 31 finished goods inventory is 18,640 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. e. The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item. f. Sales commissions of 10% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g. Monthly general and administrative expenses include $30,000 for administrative salaries and 0.8% monthly interest on the long- term note payable. h. The company budgets 30% of sales to be for cash and the remaining 70% on credit Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale). i. All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase)- j. The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. <. dividends of are budgeted to be declared and paid in may. i. no cash payments for income taxes the second calendar quarter. tax will assessed at quarter third m. equipment purchases last day june. required: prepare following budgets months april may june: sales budget production budget. direct materials labor factory overhead selling expense general administrative schedule receipts. materials. statement entire monthly balance sheet june complete this question by entering your answers tabs below. req leq b zigby manufacturing total units next period ratio inventory future desired ending required produce>The management of Zigby Manufacturing prepared the following balance sheet for March 31. RIGBY MANUFACTURING Balance Sheet March 31 Assets Liabilities and Equity Cash $ 58,000 Liabilities Accounts receivable 440,370 Accounts payable $ 206,400 Raw materials inventory 91 , 300 Loan payable 30,000 Finished goods inventory 393,304 Long-term note payable 500, 000 $ 736, 400 Equipment $ 636,000 Equity Less: Accumulated depreciation 168,000 468,000 Common stock 253,000 Retained earnings 361,574 714,574 Total assets 1,450,974 Total liabilities and equity $ 1,450,974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow: April, 23,300; May, 17,000; June, 21,900; and July, 23,300. The product's selling price is $27.00 per unit and its total product cost is $21.10 per unit. b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales. The March 31 finished goods inventory is 18,640 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. . The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item. f. Sales commissions of 10% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g. Monthly general and administrative expenses include $30,000 for administrative salaries and 0.8% monthly interest on the long- term note payable. h. The company budgets 30% of sales to be for cash and the remaining 70% on credit Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale). i. All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase). j. The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28,000 are budgeted to be declared and paid in May. I. No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 35% in the quarter and budgeted to be paid in the third calendar quarter. m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget. 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Req Req 4 Reg 5 Req 6 Req 7 Reg 8 to 10 Req 11 Req 12 Direct materials budget. (Round per unit values to 2 decimal places.) ZIGBY MANUFACTURING Direct Materials Budget April May June Units to produce Materials needed for production (pounds) Total materials required (pounds) Materials to purchase (pounds) Materials cost per pound Cost of direct materials purchases Req 2 Req 4 >The management of Zigby Manufacturing prepared the following balance sheet for March 31. ZIGBY MANUFACTURING Balance Sheet March 31 Assets Liabilities and Equity Cash $ 58,000 Liabilities Accounts receivable 440,370 Accounts payable $ 206, 400 Raw materials inventory 91,300 Loan payable 30,000 Finished goods inventory 393,304 Long-term note payable 500,000 $ 736, 400 Equipment $ 636,000 Equity Less: Accumulated depreciation 168, 060 468,000 Common stock 353,000 Retained earnings 361,574 714,574 Total assets 1, 450,974 Total liabilities and equity $ 1,450,974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow: April, 23,300; May, 17,000; June, 21,900; and July, 23,300. The product's selling price is $27.00 per unit and its total product cost is $21.10 per unit b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales. The March 31 finished goods inventory is 18,640 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. e. The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item. f. Sales commissions of 10%% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g. Monthly general and administrative expenses include $30,000 for administrative salaries and 0.8% monthly interest on the long- term note payable. h. The company budgets 30% of sales to be for cash and the remaining 70% on credit Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale). i. All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase]. j. The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28,000 are budgeted to be declared and paid in May. I. No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 35% in the quarter and budgeted to be paid in the third calendar quarter. m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget. 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4 Req 5 Req 6 Req 7 Reg 8 to 10 Req 11 Req 12 Direct labor budget. (Round per unit values to 2 decimal places.) ZIGBY MANUFACTURING Direct Labor Budget April May June Total Units to produce Direct labor hours needed Cost of direct labo The management of Zigby Manufacturing prepared the following balance sheet for March 31. ZIGBY MANUFACTURING Balance Sheet March 31 Assets Liabilities and Equity Cash $ 58, 000 Liabilities Accounts receivable 440,370 Accounts payable $ 206, 400 Raw materials inventory 91, 300 Loan payable 30,000 Finished goods inventory 393,304 Long-term note payable 500, 000 $ 736, 400 Equipment $ 636,000 Equity Less: Accumulated depreciation 168,000 468,000 Common stock 353,000 Retained earnings 361,574 714,574 Total assets $ 1, 450,974 Total liabilities and equity $ 1,450,974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow: April, 23,300; May, 17,000; June, 21,900; and July, 23,300. The product's selling price is $27.00 per unit and its total product cost is $21.10 per unit b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales. The March 31 finished goods inventory is 18,640 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. e. The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item. f. Sales commissions of 10% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g. Monthly general and administrative expenses include $30,000 for administrative salaries and 0.8% monthly interest on the long- term note payable. h. The company budgets 30% of sales to be for cash and the remaining 70% on credit Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale) i. All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase). j. The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28,000 are budgeted to be declared and paid in May. I. No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 35% in the quarter and budgeted to be paid in the third calendar quarter. m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget. 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Req 3 Req 4 Reg 5 Reg 6 Reg 7 Reg 8 to 10 Req 11 Req 12 Factory overhead budget. (Round variable overhead rate values to 2 decimal places.) ZIGBY MANUFACTURING Factory Overhead Budget April May June Total Direct labor hours needed Variable overhead rate per direct labor hour Budgeted variable overhead Budgeted fixed overhead Budgeted total factory overhead The management of Zigby Manufacturing prepared the following balance sheet for March 31. ZIGBY MANUFACTURING Balance Sheet March 31 Assets Liabilities and Equity Cash $ 58,000 Liabilities Accounts receivable 440,370 Accounts payable $ 206, 400 Raw materials inventory 91, 300 Loan payable 30, 000 Finished goods inventory 193,304 Long-term note payable 300, 000 $ 736, 400 Equipment $ 636,060 Equity Less: Accumulated depreciation 168,000 468,000 Common stock 353, 000 Retained earnings 361,574 714,574 Total assets $ 1, 450,974 Total liabilities and equity $ 1,450,974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow: April, 23,300; May, 17,000; June, 21,900; and July, 23,300. The product's selling price is $27.00 per unit and its total product cost is $21.10 per unit b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales. The March 31 finished goods inventory is 18,640 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. . The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item. f. Sales commissions of 10% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g. Monthly general and administrative expenses include $30,000 for administrative salaries and 0.8% monthly interest on the long- term note payable. h. The company budgets 30% of sales to be for cash and the remaining 70% on credit Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale). i. All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase). . The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28,000 are budgeted to be declared and paid in May I. No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 35% in the quarter and budgeted to be paid in the third calendar quarter. m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget. 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Reg 3 Req 4 Reg 5 Req 6 Req7 Req 8 to 10 Req 11 Req 12 Selling expense budget. ZIGBY MANUFACTURING Selling Expense Budget April May June Budgeted sales Sales commissions The management of Zigby Manufacturing prepared the following balance sheet for March 31. ZIGBY MANUFACTURING Balance Sheet March 31 Assets Liabilities and Equity Cash $ 58,000 Liabilities Accounts receivable 140,370 Accounts payable $ 206, 400 Raw materials inventory 91,300 Loan payable 30,000 Finished goods inventory 193,304 Long-term note payable 500, 000 $ 736, 400 Equipment $ 636,060 Equity Less: Accumulated depreciation 168,000 468,000 Common stock 353,000 Retained earnings 361,574 714,574 Total assets $ 1,450,974 Total liabilities and equity $ 1,450,974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow: April, 23,300; May, 17,000; June, 21,900; and July, 23,300. The product's selling price is $27.00 per unit and its total product cost is $21.10 per unit b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales. The March 31 finished goods inventory is 18,640 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. e. The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item. f. Sales commissions of 10% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g. Monthly general and administrative expenses include $30,000 for administrative salaries and 0.8% monthly interest on the long- term note payable h. The company budgets 30% of sales to be for cash and the remaining 70%% on credit Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale). i. All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase). . The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28,000 are budgeted to be declared and paid in May. I. No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 35% in the quarter and budgeted to be paid in the third calendar quarter. m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget. 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Req 3 Req 4 Reg 5 Reg 6 Req 8 to 10 Req 11 Req 12 General and administrative expense budget. ZIGBY MANUFACTURING General and Administrative Expense Budget April May June Total general and administrative expenses The management of Zigby Manufacturing prepared the following balance sheet for March 31. ZIGBY MANUFACTURING Balance Shout March 31 Liabilities and Equity Cach $ 58, DD Liabilities Accounts receivable 440, 370 Accounts payable 206, 401 Raw materials inventory 91,302 Loan payable 30, DDI Finished goods inventory 393,304 Long-tam mota payable 500, DDI 5 736, 40 Equipment 5 436, DDD Equity Loss: Accumulated depreciation 168, DD0 468, DDO Common stock 353, DDI Retained earnings 361. 574 714,574 Total asanta 5 1, 450,974 Total liabilities and equity 5 1, 450, 974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow: April, 23,300; May, 17,000; June, 21,900; and July, 23,300. The product's selling price is $2700 per unit and its total product cast is $21.10 per unit. b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50 of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80%% of the next month's budgeted unit sales. The March 31 finished goods Inventory is 18,840 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. c. The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item. Sales commissions of 10% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g. Monthly general and administrative expenses indude $30,000 for administrative salaries and 0.8%% monthly interest on the long- term note payable. h. The company budgets 30%% of sales to be for cash and the remaining 70%% on credit. Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale). All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase) The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1%% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28,000 are budgeted to be declared and paid in May. L No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 350% in the quarter and budgeted to be paid in the third calendar quarter. m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget. 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. Reg 1 Reg Reg 3 Reg 4 Reg 5 Reg 6 Reg Raq B to 10 1baq 11 104 12 8. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. (Negative balances and Loan repayment amounts (if any) should be indicated with minus sign.] Show leas & ZIBOY MANUFACTURING Schedule of Cash Receipts April May Juri Sales 629, 100 459,000 591,300 Cash receipts from Cash sales Collections of prior parod sales Total cast receipts Schedule of Cash Payments for Direct Materials April Materials purchases 195,900 $ 219,700 231,100 Cash payments for Currant paried purchases Prior period purchase Total cash payments Cash Budget April May Baginning cash balance Total cash arenilabia Loss: Cash payments for Total cash payments Preliminary cash balance Ending cash balance Loan balance April May Loan balance - Beginning of month Additional loan doan supirymant Loan balance - End of month D The management of Zigby Manufacturing prepared the following balance sheet for March 31. ZIGBY MANUFACTURING Balance Shoot March 31 Liabilities and Equity Cach $ 58,004 Liabilities Accounts receivable 440,370 Accounts payable 5 206, 401 Raw materials inventory 91, 301 Loan payable 30. DDI Finished goods inventory 393, 304 Long-tem mote payable 300, DDD 5 736. 40 Equipment 5 636. DD0 Equity Lamm: Accumulated depreciation 188, DD 468. D09 Common stock 353,D01 Retained sarnings 361.574 714,534 Total amants 5 1, 450, 974 Total liabilities and equity 5 1, 450, 974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow April, 23,300; May, 17000; June, 21,900; and July, 23,300. The product's selling price is $2700 per unit and its total product cost is $21.10 per unit. b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales. The March 31 finished goods inventory is 18,040 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. c. The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead Hem. 4 Sales commissions of 10'% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g- Monthly general and administrative expenses include $30,000 for administrative salaries and 0.B'% monthly interest on the long- term note payable. h. The company budgets 30% of sales to be for cash and the remaining 70%% on credit. Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale). L All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase) - The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28.000 are budgeted to be declared and paid in May. L No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 35%% in the quarter and budgeted to be paid in the third calendar quarter. m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget. 2. Production budget. 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. B. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget. 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. 10q B to 10 May 11 May 12 Budgeted income statement for entire second quarter (not monthly). (Round your final answers to the nearest whole dollar.] ZIOBY MANUFACTURING Budgeted Income Statement For Three Months Ended June 30 Balling general and administrative expanses Total operating expenses The management of Zigby Manufacturing prepared the following balance sheet for March 31. ZIGBY MANUFACTURING Balance Shout March 31 Liabilities and Equity Cach $ 58, 000 Liabilities Accounts receivable 440, 370 Accounts payable $ 206.40 Raw materials inventory 91. 300 Loan payable 30. DDD Finished goods Inventory 393, 304 Long-term soto payable 500, DDD 5 736. 40 Equipment Equity Look: Accumulated depreciation 168, 008 468,009 Common stock 353, DD Retained warnings 361.574 714.574 Total amants $ 1, 450,934 Total liabilities and equity 5 1, 450, 974 To prepare a master budget for April, May, and June, management gathers the following information. a. Sales for March total 23,300 units. Budgeted sales in units follow April, 23,300; May, 17000; June, 21,900; and July, 23,300. The product's selling price is $2700 per unit and its total product cost is $21.10 per unit. b. Raw materials inventory consists solely of direct materials that cost $20 per pound. Company policy calls for a given month's ending materials inventory to equal 50% of the next month's direct materials requirements. The March 31 raw materials inventory is 4,565 pounds. The budgeted June 30 ending raw materials inventory is 5,800 pounds. Each finished unit requires 0.50 pound of direct materials. c. Company policy calls for a given month's ending finished goods inventory to equal 80% of the next month's budgeted unit sales. The March 31 finished goods inventory is 18,$40 units. d. Each finished unit requires 0.50 hour of direct labor at a rate of $14 per hour. c. The predetermined variable overhead rate is $4.50 per direct labor hour. Depreciation of $38,357 per month is the only fixed factory overhead item. { Sales commissions of 10'% of sales are paid in the month of the sales. The sales manager's monthly salary is $4,800. g. Monthly general and administrative expenses indude $30,000 for administrative salaries and 0.8%% monthly interest on the long- term note payable. h. The company budgets 30%% of sales to be for cash and the remaining 70% on credit. Credit sales are collected in full in the month following the sale (no credit sales are collected in the month of sale). L All raw materials purchases are on credit, and accounts payable are solely tied to raw materials purchases. Raw materials purchases are fully paid in the next month (none are paid in the month of purchase). The minimum ending cash balance for all months is $58,000. If necessary, the company borrows enough cash using a loan to reach the minimum. Loans require an interest payment of 1% at each month-end (before any repayment). If the month-end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans. k. Dividends of $28,000 are budgeted to be declared and paid in May L No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at 35% in the quarter and budgeted to be paid in the third calendar quarter. m. Equipment purchases of $100,000 are budgeted for the last day of June. Required: Prepare the following budgets for the months of April, May, and June: 1. Sales budget. 2. Production budget 3. Direct materials budget. 4. Direct labor budget. 5. Factory overhead budget. 6. Selling expense budget. 7. General and administrative expense budget. B. Schedule of cash receipts. 9. Schedule of cash payments for direct materials. 10. Cash budget 11. Budgeted income statement for entire second quarter (not monthly). 12. Budgeted balance sheet at June 30. Complete this question by entering your answers in the tabs below. 104 5 10q B to 10 long 11 Budgeted balance sheet at June 30. (Round your final answers to the nearest whole dollar.) ZIOBY MANUFACTURING Budgeted Balance Sheet June 30 Assals Total assets Liabilities and Equity Equity Total Liabilities and Equity