Wheeling Company los merchandiser that provided a balance sheet os of September 30 as shown below: Wheeling Company Balance Sheet September 30 Assets Cash $ 66,60 Accounts receivable 138,00 Inventory 64,80 Buildings and equipment, net of depreciation 260,000 Total assets $529,40 Liabilities and Stockholders' Equity Accounts payable $ 159,400 Common stock 216,000 Retained earnings 154,00 Total liabilities and stockholders' equity $529,480 The company is in the process of preparing a budget for October and has assembled the following dats: 1. Sales are budgeted at $480,000 for October and $490,000 for November. Of these sales, 35% will be for cash; the remainder will be credit sales. Forty percent of a month's credit sales are collected in the month the sales are made, and the remaining 60% collected in the following month. All of the September 30 accounts receivable will be collected in October 2 The budgeted cost of goods sold is always 45% of sales and the ending merchandise Inventory is always 30% of the following month's cost of goods sold. 3. Al merchandise purchases are an account. Thirty percent of all purchases sre psid for in the month of purchase and 70% are paid for in the following month. All of the September 30 sccounts payable to suppliers will be paid during October 4 Selling and administrative expenses for October are budgeted at $99.000, exclusive of depreciation. These expenses will be paid In cash. Depreciation is budgeted at $2,600 for the month. Required: 1. Using the information provided, calculate or prepare the following a. The budgeted cash collections for October b. The budgeted merchandise purchases for October c. The budgeted cash disbursements for merchandise purchases for October d. The budgeted net operating Income for October. e. A budgeted balance sheet st October 31 2 Assume the following changes to the underlying budgeting assumptions: (1) 50% of a month's credit sales are collected in the month the sales are made and the remaining 50%s collected in the following month. (the ending merchandise Inventory s always 10% of the following month's cost of goods sold, and (3) 20% of all purchases are paid for in the month of purchase and 20% sre paid for in the following month. Using these new sssumptions, calculste prepare the following a. The budgeted cash collections for October b. The budgeted merchandise purchases for October. c. The budgeted cash disbursements for merchandise purchases for October d. Net operating income for the month of October e. A budgeted balance sheet st October 31. Complete this question by entering your answers in the tabs below. FIA Reg 18 R1C RID R16 q AT Reg 20 2 Prepare the budgeted cash collections for October Budgeted cash collections for October Feq1A 18 Rec Reg 10 RE Reg 2A Reg 28 Req2C Reg 20 25 Prepare the budgeted merchandise purchases for October Budgeted merchandise purchases for Odaber Req1A Reg 1B Rec Reg 10 RE Teq 2A RAG 28 R20 Reg 20 Raq 2E Prepare the budgeted cash disbursements for merchandise purchases for October. Budgeted cash disbursements for merchandise purchases for October Req1A Regis Rec Req1D 1 R2A Reg 28 I 20 Reg 20 Raq 2E Prepare the budgeted net operating Income for October Budgeted net operating income for October Reg 1 Req 18 Rec Req1D RE Reg 2 Reg 28 Rec Reg 20 R2E Prepare a budgeted balance sheet at October 31. Wheeling Company Balance Shoot October 31 Accett $ Total acces Liabilities and Stockholdere Equity Total abilities and stockholders equity S Feq1A Reg 1B Regic Reg 10 RE RAGA Reg 28 20 Reg 20 26 Prepare the budgeted cash collections for October. Assume that 50% of a month's credit sales are collected in the month the sales are made and the remaining 50% is collected in the following month, (2) the ending merchandise Inventory is always 10% of the following month's cost of goods sold, and (3) 20% of all purchases are paid for in the month of purchase and 80% are paid for in the following month. Show less Budgeted cash colector for October TIA Reg 18 R1C Reg 10 1E Pe 2A Reg 2 RG20 Reg 20 20 Prepare the budgeted merchandise purchases for October. Aasume that 50% of a month's credit sales are collected in the month the sales are made and the remaining 50% scollected in the following month, (2) the ending merchandise inventory is always 10% of the following month's cost of goods sold, and (3) 20% of all purchases are paid for in the month of purchase and 30% are paid for in the following month. Show less Budgeted merchandise purchases for Odaber Ite 1A Reg 18 Reg 10 RE 1 2A Reg 23 Reg 20 R2E Prepare the budgeted cash disbursements for merchandise purchases for October. Assume that 50% of a month's credit sales are collected in the month the sales are made and the remaining 50% is collected in the following month, (2) the ending merchandise inventory is always 10% of the following month's cost of goods sold, and (3) 20% of all purchases are peld for in the month of purchase and 80% are paid for in the following month. Show less Budgeted cash disbursements for merchandise purchases for Odober Feq1A Reg 18 Regic Regio RE Reg 2A Reg 28 20 Reg 20 R2E Prepare the net operating income for the month of October. Assume that 50% of a month's credit sales are collected in the month the sales are made and the remaining 50% la collected in the following month, (2) the ending merchandise inventory is always 10% of the following month's cost of goods sold, and (3) 20% of all purchases are paid for in the month of purchase and 30% are paid for in the following month. Show less Budged net operating income for October RA R18 RIC HD R16 Reg 2 Reg 2 R20 Reg 20 RE Prepare a budgeted balance sheet at October 31. Assume that 50% of a month's credit sales are collected in the month the sales are made and the remaining 50% is collected in the following month, (2) the ending merchandise Inventory is always are paid for in the following month. 10% of the following month's cost of goods sold, and (3) 20% of a purchases are paid for in the month of purchase and 80% Show less Wheeling Company Balance Sheet Ootobar 21 Accett $ Total scoats Liabilities and Stockholderc' Equity Total abilities and stockholders'equity $