The management of Zigby Manufacturing prepared the following estimated balance sheet for March $2019.$ ZIGBY MANUFACTURING Estimated Balance Sheet March $31,2019$ Assets Cash $ $65,000$ Accounts receivable $434,850$ Raw materials inventory $87,505$ Finished goods inventory $374,640$ Total current assets $961,995$ Equipment $624,000$ Accumulated depreciation $(162,000)$ Equipment, net $462,000$ Total assets $ $1,423,995$ Liabilities and Equity Accounts payable $ $199,405$ Short$-$term notes payable $24,000$ Total current liabilities $223,405$ Long$-$term note payable $520,000$ Total liabilities $743,405$ Common stock $347,000$ Retained earnings $333,590$ Total stockholders$$ equity $680,590$ Total liabilities and equity $ $1,423,995$ To prepare a master budget for April, May, and June of $2019,$ management gathers the following information. Sales for March total $22,300$ units. Forecasted sales in units are as follows: April, $22,300$; May, $16,300$; June, $22,700$; and July, $22,300.$ Sales of $252,000$ units are forecasted for the entire year. The product$$s selling price is $$26\mathrm{.}00$ per unit and its total product cost is $$21\mathrm{.}00$ per unit. 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 $4,375$ units, which complies with the policy. The expected June $30$ ending raw materials inventory is $5,200$ units. Raw materials cost $$20$ per unit. Each finished unit requires $0\mathrm{.}50$ units of raw materials. Company policy calls for a given month$$s ending finished goods inventory to equal $80\%$ of the next month$$s expected unit sales. The March $31$ finished goods inventory is $17,840$ units, which complies with the policy. Each finished unit requires $0\mathrm{.}50$ hours of direct labor at a rate of $$15$ per hour. Overhead is allocated based on direct labor hours. The predetermined variable overhead rate is $$3\mathrm{.}90$ per direct labor hour. Depreciation of $$31,670$ per month is treated as fixed factory overhead. Sales representatives$$ commissions are $10\%$ of sales and are paid in the month of the sales. The sales manager$$s monthly salary is $$4,200.$ Monthly general and administrative expenses include $$24,000$ administrative salaries and $0\mathrm{.}9\%$ monthly interest on the long$-$term note payable. The company expects $25\%$ of sales to be for cash and the remaining $75\%$ on credit. Receivables are collected in full in the month following the sale $($none are collected in the month of the sale$).$ All raw materials purchases are on credit, and no payables arise from any other transactions. One month$$s raw materials purchases are fully paid in the next month. The minimum ending cash balance for all months is $$62,000.$ 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 repaying the short$-$term notes payable balance. Dividends of $$22,000$ are to be declared and paid in May. No cash payments for income taxes are to be made during the second calendar quarter. Income tax will be assessed at $40\%$ in the quarter and paid in the third calendar quarter. Equipment purchases of $$142,000$ 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 cash sales, which should be rounded down to the nearest whole dollar.$)$: $1.$ Sales budget. $2.$ Production budget. $3.$ Raw materials budget. $4.$ Direct labor budget. $5.$ Factory overhead budget. $6.$ Selling expense budget. $7.$ General and administrative expense budget. $8.$ Cash budget. $9.$ Budgeted income statement for the entire second quarter $($not for each month separately$).10.$ Budgeted balance sheet.