You are the manager of Everyday Sports, Inc. (ESI) Store No. 5 located in Burlington, North Carolina. ESI carries a complete line of outdoor recreation gear. You are to prepare the stores master budget for April, May, June, and July of 2022, the main selling season. The division manager and the assistant controller (head of the Accounting Department) will arrive from headquarters next week to review the budget with you. The following information is needed to complete the master budget: - Cash collections follow sales. When the company needs extra cash, it borrows on six-month installment notes payable. - Sales in March were $40,000. The sales force predicts these future monthly sales are: April 2022 $50,000 May 2022 80,000 June 2022 60,000 July 2022 50,000 Sales are 60% cash and 40% on credit. ESI collects all credit sales the month after the sale. The $16,000 of accounts receivable at March 31 are from credit sales in March. Uncollectible accounts are insignificant. - ESI maintains inventory equal to $20,000 plus 80% of the budgeted cost of goods sold for the following month. August 2022 projected cost of goods sold is $28,000. Cost of goods sold averages 70% of sales. These percentages are based on experience. ESI pays for inventory as follows: 50% during the month of purchase and 50% during the next month. Accounts payable consists of inventory purchases only. - Monthly payroll has two parts: a salary of $2,500 plus sales commissions equal to 15% of the months sales. The company pays half this amount during the month and half early in the following month. - Other monthly expenses are as follows: Rent expense $2,000, paid as incurred Depreciation expense, including new truck 500 Insurance expense 200 expiration of prepaid amount Miscellaneous expenses 5% of sales, paid as incurred - ESI plans to purchase a used delivery truck in April for $3,000 cash. - Corporate requires each store to maintain a minimum cash balance of $10,000 at the end of each month. The store can borrow money on 6-month notes payable of $1,000 each at an annual interest rate of 12%. Management borrows enough to maintain the $10,000 minimum, but not a great deal more. Notes payable require six equal monthly payments of principal, plus monthly interest on the entire unpaid principal. Borrowing and all principal and interest payments occur at the end of the month. - Income taxes are the responsibility of corporate headquarters, so you can ignore taxes for budgeting purposes. Question: Prepare the budgeted balance sheet at July 31, 2022

Please show all work.

Everyday Sports, Inc. Balance Sheet For the Months Ending July 31, 2022 Assets Current Assets: Cash Accounts Receivable Inventory Prepaid Insurance Total Current Assets Long-term Assets Equipment & Fixtures Accumulated Depreciation Total Building Equipment Total Assets Liabilities Current Liabilities: Accounts Payable Salary & Commissions Payable Total Liabilities April May June July Total Total Liabilities Owners Equity Total Liabilities & Owners' Equity