The management of Zigby Manufacturing prepared the following estimated balance sheet for March 2019. ZIGBY MANUFACTURING Estimated Balance Sheet March 31, 2019 Assets Cash $ 57,000 Accounts receivable 464,000 Raw materials inventory 91,600 Finished goods inventory 380,480 Total current assets 993, 080 Equipment 634,000 Accumulated depreciation - (167,000) Equipment, net 467,000 Total assets $1,460,089 Liabilities and Equity Accounts payable $ 206,300 Short-term notes payable 29,000 Total current liabilities 235,300 Long-term note payable 520,000 Total liabilities 755,300 Common stock 352,000 Retained earnings 352, 780 Total stockholders' equity 704, 780 Total liabilities and equity $1,460,080 To prepare a master budget for April, May, and June of 2019, management gathers the following information To prepare a master budget for April, May, and June of 2019, management gathers the following information a. Sales for March total 23,200 units. Forecasted sales in units are as follows: April, 23,200; May 17,100; June, 21,900; and July, 23,200. Sales of 257,000 units are forecasted for the entire year. The product's selling price is $25.00 per unit and its total product cost is $20.50 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 4,580 units, which complies with the policy. The expected June 30 ending raw materials inventory is 5.700 units. Raw materials cost $20 per unit. Each finished unit requires 0,50 units of raw materials. c. 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 18,560 units, which complies with the policy. d. Each finished unit requires 0.50 hours of direct labor at a rate of $13 per hour. e. Overhead is allocated based on direct labor hours. The predetermined variable overhead rate is $4.40 per direct labor hour. Depreciation of $37,320 per month is treated as fixed factory overhead. f. Sales representatives' commissions are 5% of sales and are paid in the month of the sales. The sales manager's monthly salary is $4,700. 9. Monthly general and administrative expenses include $29.000 administrative solaries and 0.8% monthly interest on the long-term note payable h. The company expects 20% of soles to be for cash and the remaining 80% on credit, Receivables are collected in full in the month following the sale (none are collected in the month of the sale). 1. 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. J. The minimum ending cash balance for all months is $99,000. 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. k. Dividends of $27.000 are to be declared and paid in May. 1. 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. m. Equipment purchases of $147,000 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. neet. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Re Sales budget. (Round Budgeted unit price to 2 decimal places.) ZIGBY MANUFACTURING Sales Budget April, May, and June 2019 Budgeted Budgeted Budgeted Unit Sales Unit Price Sales Dollars April 2019 May 2019 June 2019 Totals for the second quarter Required Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Red Production budget. ZIGBY MANUFACTURING Production Budget April, May, and June 2019 April May Next month's budgeted sales (units) 17,100 21,900 Ratio of inventory to future sales 80% 80% June 23,200 80% Required units of available production Units to be produced > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Required WWWWWWWWW 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 Budgeted balance sheet. (Round your final answers to the nearest whole dollar.) ZIGBY MANUFACTURING Budgeted Balance Sheet June 30, 2019 Assets Total current assets Equipment, net Total assets Liabilities and Equity Liabilities Total current liabilities Stockholders' Equity Total Stockholders' Equity Total Liabilities and Equity