typed answers only please

\" Corporation is a merchandising company that is preparing a master budget for the third quarter ol the calendar year. The company's balance sheet as ofJune 30th is shown below: Budget-6827 Corporation Balance sheet June 30 Assets Cash $ 83,606 Accounts receivable 126.000 Inventory 69,750 Plant and equipment. net of depreciation 220 000 Total assets 5498.750 Liabilities and Stockholders' Equity Accounts payable 3 31mm: Common stock 348.000 Retained earnings 69 750 Total liabilities and stockholders' equity 5498.750 The company managers have made the following additional assumptions and estimates: 1, Estimated sales for July, August, September, and October will be $310,000, $330,000. $320,000, and $340,000, respectively. 2. All sales are on credit and all credit sales are collected, Each month's credit sales are collected 35% in the month of sale and 65% in the month following the sale, All 0! the accounts receivable at June 30 will be collected in July, 3. Each month's ending Inventory must equal 30% of the cost of next month's sales. The cost of goods sold Is 75% of sales. The company pays tor 40% of its merchandise purchases In the month of the purchase and the remaining 60% In the month following the purchase. All ofthe accounts payable at June 30 will be paid in July 4. Monthly selling and administrative expenses are always $58,000. Each month $6,000 of this total amount is depreciation expense and the remaining $52,000 relates to expenses that are paid in the month they are incurred, 5. The company does not plan to borrow money or pay or declare dividends during the quarter ended September 30. The company does not plan to issue any common stock or repurchase its own stock during the quarter ended September 30. How much is the Budget-6827 Company's expected cash disbursement for merchandise In the month of July? Multiple Choice 0 $175,300 351.000 $94,800 000 $142,200 _ __, Corporation is a merchandising company that is preparing a master budget for the third quarter 0! the calendar year. The company's balance sheet as ofJune 30th ls shown below: Budget-6827 Corporation Balance Sheet June 30 Assets Cash $ 83.000 Accounts receivable 126.000 Inventory 69,75a Plant and equipment, net of depreciation 228 mm Total assets 549 750 Liabilities and Stockholders' Equity Accounts payable s 31,aaa Common stock 348.000 Retained earnings 69 750 Total liabilities and stockholders' equity 3498.756 The company managers have made the following additional assumptions and estimates: 1. Estimated sales for July. August, September, and October will be $310,000, $330,000. $320,000, and $340,000, respectively. 2. All sales are on credit and all credit sales are collected, Each month's credit sales are collected 35% in the month of sale and 65% in the month following the sale. All ofthe accounts receivable at June 30 will be collected in July. 3. Each month's ending Inventory must equal 30% of the cost of next month's sales. The cost of goods sold Is 75% of sales. The company pays for 40% of its merchandise purchases In the month at the purchase and the remaining 60% In the month following the purchase. All olthe accounts payable at June 30 will be paid in July 4. Monthly selling and administrative expenses are always $58,000. Each month $6,000 of this total amount is depreciation expense and the remaining $52,000 relates to expenses that are paid in the month they are incurred, 5. The company does not plan to borrow money or pay or declare dividends during the quarter ended September 30. The company does not plan to issue any common stock or repurchase its own stock during the quarter ended September 30. How much Is the Budget-6827 Company's expected Net Operaung Income forthe quarter ending on September 30? Mulple Choice 0 $756,000 $66,000 $960,000 0 0 $240,000 0