Torres Company budgets merchandise purchases of $15,800 in January, $17.600 in February, and $21,200 in March. For those purchases, 50% of purchases are paid in the month of purchase and 50% are paid in the month after the purchase. The company purchased $28,000 of merchandise in December. Prepare a schedule of cash payments for merchandise for the months of January, February, and March. TORRES COMPANY Cash Payments for Merchandise Purchases January February March Merchandise purchases $ 15,800 $ 17,600 $ 21,200 Cash payments for Current period purchases Prior period purchases Total cash payments for purchases Raider-X Company budgets sales of 19,000 units for April and 21,000 units for May. Beginning inventory on April 1 is 3,400 units, and the company wants to have 30% of next month's unit sales in inventory at the end of each month. The merchandise cost per unit is $2. Prepare a merchandise purchases budget for the month of April. RAIDER-X COMPANY Merchandise Purchases Budget April Budgeted sales units Next period budgeted sales units Ratio of inventory to future sales Total required units Units to be purchased Cost per unit Cost of merchandise purchases a. Beginning cash balance, September 1, $45,000. b. Budgeted cash receipts from September sales, $263,000. c. Direct materials are purchased on credit. Purchase amounts are August (actual), $75,000; and September (budgeted), $102,000. Payments for direct materials follow: 60% in the month of purchase and 40% in the first month after purchase. d. Budgeted cash payments for direct labor in September, $31,000. e. Budgeted depreciation expense for September, $3,500. f. Budgeted cash payment for dividends in September, $60,000. g. Budgeted cash payment for income taxes in September, $10,500. h. Budgeted cash payment for loan interest in September , $1,400. PTO COMPANY Cash Budget September Beginning cash balance Add: Cash receipts from sales Total cash available Less: Cash payments for Direct materials Direct labor Dividends Income taxes Interest on loon Total cash payments Preliminary cash balance