True Printing Company of Baltimore has applied for a loan. Its bank has requested a budgeted balance sheet at April 30, 2016, and a budgeted statement of cash flows for
April. The March 31, 2016, balance sheet follows:

As True Printing€™s controller, you have assembled the following additional information:
a. April dividends of $3,500 were declared and paid.
b. April capital expenditures of $16,900 budgeted for cash purchase of equipment.
c. April depreciation expense, $200.
d. Cost of goods sold, 40% of sales.
e. Desired ending inventory for April is $24,800.
f. April selling and administrative expenses includes salaries of $39,000, 40% of which will be paid in cash and the remainder paid next month.
g. Additional April selling and administrative expenses also include miscellaneous expenses of 10% of sales, all paid in April.
h. April budgeted sales, $87,000, 60% collected in April and 40% in May.
i. April cash payments of March 31 liabilities incurred for March purchases of inventory, $8,300.
j. April purchases of inventory, $9,900 for cash and $37,600 on account. Half the credit purchases will be paid in April and half in May.
Requirements
1. Prepare the sales budget for April.
2. Prepare the inventory, purchases, and cost of goods sold budget for April.
3. Prepare the selling and administrative expense budget for April.
4. Prepare the schedule of cash receipts from customers for April.
5. Prepare the schedule of cash payments for selling and administrative expenses for April.
6. Prepare the cash budget for April. Assume the company does not use short-term financing to maintain a minimum cash balance.
7. Prepare the budgeted income statement for April.
8. Prepare the budgeted balance sheet at April 30, 2016.
9. Prepare the budgeted statement of cash flows for April.

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TRUE PRINTING COMPANY Balance Sheet March 31, 2016 Assets Current Assets: Cash Accounts Receivable Merchandise Inventory Total Current Assets $ 50,300 17,100 12,100 $ 79,500 Property, Plant, and Equipment: Equipment and Fixtures Less: Accumulated Depreciation 81,200 (12,200) 69,000 148,500 Total Assets Liabilities Current Liabilities: Accounts Payable $ 8,300 Stockholders' Equity Common Stock, no par Retained Earnings 20,000 120,200 Total Stockholders Equity Total Liabilities and Stockholders' Equity 140,200 148,500