The Sun state Bank has asked Dell Printing Co for a budgeted balance shoot for the year ended December 31, 2016. The The cash budget shows an expected cash balance of $75,000 at December 31, 2016. The 2016 sales budget shows total annual sales of $800,000 All sales are made on account and accounts receivable at December 31, 2016 are expected to be 10% of annual sales. The merchandise purchases budget shows budgeted cost of goods sold for 2016 of $600,000 and ending merchandise inventory of $95,000. 20% of the ending inventory is expected to have not yet been paid at December 31, 2016 The December 31, 2015 balance shoot includes the following balances: Equipment $294,000. Accumulated Depreciation $122,000. Common Stock $270,000. and Retained Earnings $48,000. The budgeted income statement for 2016 induces the following: depreciation on equipment $15,000. federal income taxes $21,000. and net income $49,000. The income taxes will not be paid until 2013 (Remember, this makes it a liability). In 2013. management does not expect to purchase additional equipment or to declare any dividends It does expect to pay all operating expenses, other than deprecation, in cash