The management of Zigby Manufacturing prepared the following estimated balance sheet for March 2019. ZIGBY MANUFACTURING Estimated Balance Sheet March 31, 2019 Assets Cash Accounts receivable Raw materials inventory Finished goods inventory Total current assets Equipment Accumulated depreciation Equipment, net Total assets Liabilities and Equity Accounts payable Short-term notes payable Total current liabilities Long-term note payable Total liabilities Common Stock Retained earnings Total stockholder's equity Total liabilities and equity 80, eee 364, 090 96,eee 364,880 984, Bee 610, eee (155 see) 455, eee 1,359,800 $ 195,500 17 000 212,500 510,000 722,588 340,000 292,300 63738 1,359,800 To prepare a master budget for April May. and June of 2019. management gathers the following information a Soles for March total 20.000 units. Forecasted sales in units are as follows: Apr,20,000, May 19,000, June 19,500, and July 20,000 Sales of 245,000 units are forecasted for the entire year. The product's selling price is $26.00 per unit and its total product cost is $22.00 per unit b. Company policy calls for a given month's ending raw materials Inventory to equal 50% of the next month's materials requirements. The March 31 raw materials inventory is 4,800 units, which complies with the policy. The expected June 30 ending raw materials Inventory is 4,500 units. Raw materials cost $20 per unit. Each finished unit requires 0.50 units of raw materials e company policy calls for a given month's ending finished goods Inventory to equal 80% of the next month's expected unit sales. The March 31 finished goods inventory ts 16,000 units, which complies with the policy d. Each finished unit requires 0.50 hours of direct labor at a rate of $20 per hour Overhead is allocated based on direct labor hours. The predetermined variable overhead rate is 53 20 per direct labor hour. Depreciation of $23,400 per month as treated as fixed factory overhead Sales representatives commissions are 6% of sales and are paid in the month of the sales. The sales manager's monthly salary is $3,500. g. Monthly general and administrative expenses include $17.000 administrative solares and 0.9% monthly interest on the long-term note payable. h. The company expects 30% of sales to be for cash and the remaining 70% on Credit Receivables are collected in full in the month following the sale (none are collected in the month of the sales I. Alltow materials purchases are on credit, and no payables arise from any other transactions. One month's raw materials purchases are fully paid in the next month. J. The minimum ending cash balance for all months is $45,000. If necessary, the company borrows enough cash using a short-term note to reach the minimum. Short-term notes require an interest payment of 1% at each month-end before any repayment. If the ending cash balance exceeds the minimum, the excess will be applied to Tepaying the short-term notes payable balance k. Dividends of $15.000 are to be declared and paid in May I. No cash payments for income taxes are to be made during the second calendar Quartet income tax will be assessed at 35% in the quarter and paid in the third calendar quarter m. Equipment purchases of $185.000 are budgeted for the last day of June Required: Prepare the following budgets and other financial Information as required. All budgets and other financial information should be prepared for the second calendar quarter except as otherwise noted below. (Round calculations up to the nearest whole dollar, except for the amount of cosh sales, which should be rounded down to the nearest whole dolar) ZIGBY MANUFACTURING Raw Materials Budget April, May, and June 2019 April May June Production budget (units) 19,200 19,400 19.900 Materials requirements per unit 0.50 0.50 0.50 Materials needed for production 9,600 9,700 9,950 Budgeted ending inventory Total materials requirements (units) Beginning inventory Materials to be purchased Material price per unit Budgeted raw material purchases Required 2 Required 4 V Direct labor budget. (Round per unit values to 2 decimal places.) June Total ZIGBY MANUFACTURING Direct Labor Budget April, May, and June 2019 April May Budgeted production (units) Labor requirements per unit (hours) Total labor hours needed Direct labor rate (per hour) Budgeted direct labor cost 0 Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Factory overhead budget. (Round per unit values to 2 decimal places.) ZIGBY MANUFACTURING Factory Overhead Budget April, May, and June 2019 April May June Total Labor hours needed Budgeted variable overhead Budgeted fixed overhead Budgeted total overhead R Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 FRETETE Selling expense budget. ZIGBY MANUFACTURING Selling Expense Budget April, May, and June 2019 April May June Budgeted sales Sales commissions TEKET Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 R General and administrative expense budget. ZIGBY MANUFACTURING General and Administrative Expense Budget April, May, and June 2019 April May June Total budgeted G&A expenses Required 6 Required 8 > Cash budget. (Negative balances and Loan repayment amounts (if any) should be indicated with mi Calculation of Cash receipts from customers: April May June Total budgeted sales Cash sales 30% 70% Sales on credit Total cash receipts from customers April May June Current month's cash sales Collections of receivables Total cash receipts ZIGBY MANUFACTURING Cash Budget April, May, and June 2019 April May June Beginning cash balance Total cash available Cash payments for Total cash payments Preliminary cash balance Ending cash balance Loan balance April May June Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month Budgeted income statement for the entire second quarter (not for each month sepa nearest whole dollar.) ZIGBY MANUFACTURING Budgeted Income Statement For Three Months Ended June 30, 2019 Operating expenses Total operating expenses 0 0 GA 0 ZIGBY MANUFACTURING Budgeted Balance Sheet June 30, 2019 Assets Total current assets $ 0 Equipment, net 0 Total assets Liabilities and Equity Liabilities Total current liabilities Stockholders' Equity Equipment, net 0 Total assets Liabilities and Equity Liabilities Total current liabilities Stockholders' Equity Total Stockholders' Equity Total Liabilities and Equity