Thrifty Dollar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements: Requirement 1. Prepare the sales budget for November and December. Requirement 2. Prepare the cost of goods sold, inventory, and purchases budget for November and December. - October sales are projected to be $320,000. - Sales are projected to increase by 20% in November and another 30% in December and then retum to the October level in January. - 40% of sales are made in cash while the remaining 60% are paid by credit or debit cards. The credit card companies and banks (debit card issuers) charge a 5% transaction fee, and deposit the net amount (sales price less the transaction fee) in the store's bank account daily. The store does not accept checks. Because of the payment mochanisms, there is no risk of non-paymont or bad-debts. - The store's gross profit is 40% of its sales revenue. - For the next several months, the store wants to maintain an ending merchandise inventory equal to $11,000 plus 15% of the next month's cost of goods sold. All purchases for merchandise are made on account and paid in the month following the purchase. The September 30 inventory is expected to be $39,800. - Expected monthly operating expenses and details about poymonts include the following: - Wages of tetere workers should be $7,800 per month and are paid on the last day of each month. - Expected monthiy operating expenses and detals about payments include the following: - Wages of store workers should be $7,800 per month and are paid on the last day of each month. - Utilies expense is expected to be $1,200 per month in September, October, and November. - Utilies expense is expected to be $1,600 per month during the colder months of December, January, and Fobruary. - All utlity bils are paid the month after incurred. - Property tax is $20,400 per year and is paid semiannually each December and June. - Property and liability insurance is $19.200 per year and is paid semiannually each January and July. - Depreclation expense is $96,000 per year, the straight-line method used. - Transaction fees, as stated earler, are 5% of credit and debit card sales. - Cash dividends of $210,000 are to be pald in December. - Assume the cash bolance on October 31 is $45.000. The company wants to - Utilities expense is oxpected to be $1,200 per month in September, October, and November. - Utilities expense is expected to be $1,600 per month during the colder months of December, January, and February. - All utility bills are paid the month after incurred. - Property tax is $20,400 per year and is paid semiannually each December and June. - Property and liability insurance is $19,200 per year and is pald semiannually each January and July. - Depreciation expense is $96,000 per year, the straight-line method used. - Transaction fees, as stated earlier, are 5% of credit and debit card sales. - Cash dividends of $210,000 are to be paid in December. - Assume the cash balance on October 31 is $45,000. The company wants to maintain a cash balance of at least $45,000 at the end of every month. - The company has arranged a line of credit with a local bank at a 7% interest rate. There is no outstanding debt as of October 31 . Thrity Dollar Store is a local discount store with the following information: (Cick the icon to view the information.) Read the requirements. Requirement 2. Prepare the cost of goods sold, inwentory, and purchases budget for November and December. Thrifty Dollar Stere Cost of Goods Sold, Inventory, and Purchases Budget Thrifty Dollar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements. Requirement 3. Prepare the operaling expense budget for November and December. Thrifyy Dollar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements. Requirement 4. Prepare the budgeted income statement for November and December. Review the budgets prepared in Requirements 1,2 , and 3. Thrity Dollar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements. Requirement 5. Prepare the cash collections budget for November and December. Review the sales budget prepared in Requiroment 1. Thrifty Dollar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements. Fet is instie Requirement 5. Prepare the cash collections budget for November and December. Review the sales budget prepared in Requirement 1 . Thrifty Doliar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements. Total cash collections Requirement 6. Prepare the cash payments budget for November and December. (If no cash payment is made, mako sure to enter " 0 " in the appropriate cell.) Review the budgets propared in Requiroments 1,2, and 3 . Thrifty Dollar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements. Thrifty Dollar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements. Total payments for operating expenses Requirement 7. Prepare the combined cash budget for November and December. (Enter a "0" for any zero amounts. Use parentheses or a minus sign for negative cash balances and financing payments.) Review the cash collections and cash payments budgets prepared in Requirements 5 and 6 . Thrifty Dollar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements. Thrifty Dollar Store is a local discount store with the following information: (Click the icon to view the information.) Read the requirements Requirements Prepare the following budgets for November and December: 1. Sales budget 2. Cost of goods sold, inventory, and purchases budget 3. Operating expense budget 4. Budgeted income statement 5. Cash collections budget 6. Cash paymonts budget 7. Combined cash budget