This is all one question not to sure of my answers or the rest!

Required information Problem 7-23A (Algo) Preparing a master budget for retail company with no beginning account balances LO 7-2,7-3, 7-4, 7-5, 7-6 [The following information applies to the questions displayed below) Gibson Company is a retail company that specializes in selling outdoor camping equipment. The company is considering opening a new store on October 1, year 1. The company president formed a planning committee to prepare a master budget for the first three months of operation. As budget coordinator, you have been assigned the following tasks. Problem 7-23A (Algo) Part 1 Required a. October sales are estimated to be $320,000, of which 45 percent will be cash and 55 percent will be credit. The company expects sales to increase at the rate of 20 percent per month. Prepare a sales budget. b. The company expects to collect 100 percent of the accounts receivable generated by credit sales in the month following the sale. Prepare a schedule of cash receipts. c. The cost of goods sold is 70 percent of sales. The company desires to maintain a minimum ending inventory equal o 20 percent of the next month's cost of goods sold. However, ending inventory of December is expected to be $12.700. Assume that all purchases are made on account. Prepare an inventory purchases budget. d. The company pays 80 percent of accounts payable in the month of purchase and the remaining 20 percent in the following month Prepare a cash payments budget for inventory purchases. e. Budgeted selling and administrative expenses per month follow. Required information a ne company pays su percent of accounts payable in the month or purchase and the remaining 20 percent in the tonowing mont, Prepare a cash payments budget for inventory purchases. e. Budgeted selling and administrative expenses per month follow, Salary expense (fixed) $18,700 Sales commissions 4 of Sales Supplies expense 2 of Sales Utilities (fixed) 5 2.100 Depreciation on store fixtures (fixed). $4,700 Rent (fixed) $ 5,500 Miscellaneous (fixed) $ 1,900 The capital expenditures budget indicates that Gibson will spend $139,800 on October 1 for store fixtures, which are expected to have a $27,000 salvage value and a two-year (24-month) useful life Use this information to prepare a selling and administrative expenses budget. t. Utilities and sales commissions are paid the month after they are incurred; all other expenses are paid in the month in which they are incurred. Prepare a cash payments budget for selling and administrative expenses 9. Gibson borrows funds, in increments of $1,000, and repays them on the last day of the month. Repayments may be made in any amount available. The company also pays its vendors on the last day of the month. It pays interest of 2 percent per month in cash on the last day of the month. To be prudent, the company desires to maintain a $19,000 cash cushion. Prepare a cash budget Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Required E Required F Required G C Required information on the last day or the mont. 1o de prudent, the company desires to maintain a 319,000 casn cushion. Prepare a cash ouaget. Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Required E Required Required G October sales are estimated to be $320,000, of which 45 percent will be cash and 55 percent will be credit. The company expects sales to increase at the rate of 20 percent per month. Prepare a sales budget. October November December $ Sales Budget Cash sales Sales on account Total budgeted sales 144,000 $ 176,000 320,000 5 172,800 $ 211,200 384,000 $ 207,360 253,440 460,800 $ Required B Javed CA Chec Required information on the last day or the montn. 10 de prudent, the company desires to maintain a $14,000 casn cushion. Prepare a casn Duaget Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required E Required F Required G The company expects to collect 100 percent of the accounts receivable generated by credit sales in the month following the sale. Prepare a schedule of cash receipts. October November December Schedule of Cash Receipts Current cash sales Plus collections from AVR Total collections $ 144,000 $ 0 144,000 $ 172,800 $ 176,000 348,800 $ 207,360 172,800 380,160 $ Help Sa -- Required information on the last way of the monin. 1o de prudent, the company desires to maintain a 319,00u casn cushion. Prepare a casn Duag 12 Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Required E Required F Required G ok The cost of goods sold is 70 percent of sales. The company desires to maintain a minimum ending inventory equal to 20 percent of the next month's cost of goods sold. However, ending inventory of December is expected to be $12,700. Assume that all purchases are made on account. Prepare an inventory purchases budget. ences October November December $ Inventory Purchases Budget Budgeted cost of goods sold Plus: Desired ending inventory Inventory needed Less: Beginning inventory Required purchases (on account) 224,000 $ 53,760 277,760 0 277,760 $ 268,800 $ 64,512 333,312 53,760 279,552 $ 322,560 12,700 335,260 64,512 270,748 $ Help S Required information on the last day of the month. 1o de prudent, the company desires to maintain a $19.00u casn cushion. Prepare a casn dua Complete this question by entering your answers in the tabs below. Required A Required B Required Reapired D Required E Required Required G The company pays 80 percent of accounts payable in the month of purchase and the remaining 20 percent in the following month. Prepare a cash payments budget for inventory purchases. (Round your final answers to the nearest whole dollar amounts.) October November December Schedule of Cash Payments Budget for Inventory Purchases Payment of current month's accounts payable $ 222,208 $ 223,642 s 216,598 Payment for prior month's accounts payable 0 55,552 55,910 Total budgeted payment for inventory $ 222,208 5 279.194 $ 272,508 Required information on the last day or the mont. 1o de prudent, the company desires to maintain a $19,000 casn cusnion. Prepare a casn Duage Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Reduired E Required F Required G Prepare a selling and administrative expenses budget. October November December Selling and Administrative Expense Budget Salary expense $ 18,700 $ 18,700 $ 18,700 Sales commissions 12,800 15,360 18,432 Supplies expense 6,400 7,680 9,216 Utilities 2,100 2,100 2,100 Depreciation on store fixtures 4,700 4,700 4,700 Rent 5,500 5,500 5,500 Miscellaneous 1.900 1,900 1,900 Total S&A expenses S 52,100 $ 55,940 S 60,548 Big Help Required information on the tast day or the montn. 10 de prudent, the company desires to maintain a 319.00u casn cusnion. Prepare a casn bu Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required E Required F Required G Utilities and sales commissions are paid the month after they are incurred; all other expenses are paid in the month in which they are incurred. Prepare a cash payments budget for selling and administrative expenses. October November December Schedule of Cash Payments for S&A Expenses Salary expense $ 18,700 s 18,700 $ 18.700 Sales commissions 0 12,800 15,360 Supplies expense 6,400 7,680 9,216 0 2.100 2.100 Depreciation on store futures 0 0 0 Pent 5,500 5,500 5,500 Miscellaneous 1.900 1.900 1,900 Total payments for S&A expenses $ 32,500 $ 48,680 $ 52.776 Help Save & Ch Required information Gibson borrows funds, in increments of $1,000, and repays them on the last day of the month. Repayments may be made in any amount available. The company also pays its vendors on the last day of the month. It pays interest of 2 percent per month in cash on the last day of the month. To be prudent, the company desires to maintain a $19,000 cash cushion. Prepare a cash budget. (Any repayments/shortage which should be indicated with a minus sign.) Show less Cash Budget October November December 144,000 144,000 348,000 348,000 380,160 380,160 Section 1: Cash Receipts Beginning cash balance Add: Cash receipts Total Cash available Section 2: Cash Payments For inventory purchases For selling and administrative expenses Purchase of store foxtures Interest expense 222,208 32,500 139,800 279,194 48,680 272,508 52,776 394,508 327,874 325,284 Total budgeted disbursements Section 3: Financing Activities Surplus (shortage) Borrowing repayment) Ending cash balance (250,508) 20.126 54,876 $(250,508) $ 20,126 $ 54,876 Required information Problem 7-23A (Algo) Preparing a master budget for retail company with no beginning account balances LO 7-2,7-3, 7-4, 7-5, 7-6 [The following information applies to the questions displayed below.) Gibson Company is a retail company that specializes in selling outdoor camping equipment. The company is considering opening a new store on October 1. year 1. The company president formed a planning committee to prepare a master budget for the first three months of operation. As budget coordinator, you have been assigned the following tasks. Problem 7-23A (Algo) Part 2 h. Prepare a pro forma income statement for the quarter. 1. Prepare a pro forma balance sheet at the end of the quarter. J. Prepare a pro forma statement of cash flows for the quarter. Complete this question by entering your answers in the tabs below. Required H Required Required Prepare a pro forma income statement for the quarter. craremont nt rach iw the TS nutartar Required information Complete this question by entering your answers in the tabs below. Required H Required 1 Required) Prepare a pro forma income statement for the quarter. GIBSON COMPANY Pro Forma Income Statement For the Quarter Ended December 31, year 1 Sales revenue Cost of goods sold Gross margin Selling and administrative expenses Operating income Interest expense Net Income 0 0 0 Required I > no 80 2 SHA NOV Required information Prepare a pro forma balance sheet at the end of the quarter. (Amounts to be deducted should be indicated by a minus sign. GIBSON COMPANY Pro Forma Balance Sheet December 31, year 1 Assets Cash Accounts receivable Inventory Store fixtures Accumulated depreciation Book value of fixtures Total assets Liabilities Accounts payable Utilities payable Sales commissions payable Line of credit liability 0 $ 0 Equity Retained earnings $ 0 Total liabilities and equity Required information Prepare a pro forma statement of cash flows for the quarter. (Amounts to be deducted should be indicated by a minus sign) GIBSON COMPANY Pro Forma Statement of Cash Flows For the Quarter Ended December 31, year 1 Cash flows from operating activities Cash receipts from customers Cash payments for inventory Cash payments for selling and administrative expenses Cash payments for interest expense Net cash flows from operating activities $ 0 Cash flows from investing activities Cash payment for store foxtures Cash flow from financing activities Net Inflow from line of credit Net increase in cash Plus: Beginning cash balance $ 0 Ending cash balance