Deacon Company is a merchandising company that is preparing a budget for the three-month period ended June 30th. The following Information is available Deacon Company Balance Sheet March 31 Assets Cash $ 61,400 Accounts receivable 35,600 Inventory 67,300 Buildings and equipment, net of depreciation 179,000 Total assets 5 350.300 Liabilities and stockholders' Equity Accounts payable $ 155,600 Connon stock 70,000 retained earnings 120.700 Total liabilities and stockholders equity $350,300 trageted Income Statemente Sales Cost of goods sold Gross sargi selling and distrative pe Het operating income April May June $191,000 201.000 221,000 110/600 120.600 132.600 76.400 30,400 10,400 16.900 101.400 21,400 $59.500 162,000 67.000 Budgeting Assumptions: 0.60% of sales are cash sales and 40% of sales are credit sales. Twenty percent of all credit sales are collected in the month of sale and the remaining 80% are collected in the month subsequent to the sale. b. Budgeted sales for July are $231.000 c. 10% of merchandise inventory purchases are paid in cash at the time of the purchase. The remaining 90% of purchases are credit purchases. All purchases on credit are paid in the month subsequent to the purchase. The accounts payable at March 31 will be paid in April d. Each month's ending merchandise inventory should equal $10,000 plus 50% of the next month's cost of goods sold e Depreciation expense is $1400 per month All otherseling and administrative expenses are paid in full in the month the expense is incurred a. 60% of sales are cash sales and 40% of sales are credit sales. Twenty percent of all credit sales are collected in the month of sale and the remaining 80% are collected in the month subsequent to the sale. b. Budgeted sales for July are $231000 c. 10% of merchandise inventory purchases are paid in cash at the time of the purchase. The remaining 90% of purchases are credit purchases. All purchases on credit are paid in the month subsequent to the purchase. The accounts payable at March 31 will be paid in April d Each month's ending merchandise Inventory should equal $10,000 plus 50% of the next month's cost of goods sold e. Depreciation expense is $1,400 per month. All other selling and administrative expenses are paid in full in the month the expense is Incurred Required: 1. Calculate the expected cash collections for April, May, and June 2. Calculate the budgeted merchandise purchases for April, May, and June 3. Calculate the expected cash disbursements for merchandise purchases for April, May, and June 4. Prepare a budgeted balance sheet at June 30th. (Hint You need to calculate the cash paid for selling and administrative expenses during April May, and June to determine the cash balance in your June 30th balance sheet) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required Required 4 Calculate the expected cath collections for April May, and Dune April May June Toolshofen Quarter Required 2 > 2. 60% of sales are cash sales and 40% of sales are credit sales. Twenty percent of all credit sales are collected in the month of sale and the remaining 80% are collected in the month subsequent to the sale. b. Budgeted sales for July are $231,000. c. 10% of merchandise inventory purchases are paid in cash at the time of the purchase. The remaining 90% of purchases are credit purchases. All purchases on credit are paid in the month subsequent to the purchase. The accounts payable at March 31 will be d. Each month's ending merchandise inventory should equal $10,000 plus 50% of the next month's cost of goods sold, Depreciation expense is $1,400 per month. All other selling and administrative expenses are paid in full in the month the expense is incurred Required: 1. Calculate the expected cash collections for April, May, and June. 2 Calculate the budgeted merchandise purchases for April, May, and June 3. Calculate the expected cash disbursements for merchandise purchases for April, May, and June. 4. Prepare a budgeted balance sheet at June 30th. (Hint: You need to clculate the cash paid for selling and administrative expenses during April, May, and June to determine the cash balance in your June both balance sheet) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required) Required 4 Calculate the budgeted merchandise purchases for April, May, and June April May June Budgeted merchandise purchase Total a. 60% of sales are cash sales and 40% of sales are credit sales. Twenty percent of all credit sales are collected in the month of sale and the remaining 80% are collected in the month subsequent to the sale. b. Budgeted sales for July are $231.000. c. 10% of merchandise inventory purchases are paid in cash at the time of the purchase. The remaining 90% of purchases are credit purchases. All purchases on credit are paid in the month subsequent to the purchase. The accounts payable at March 31 will be paid in April d. Each month's ending merchandise Inventory should equal $10,000 plus 50% of the next month's cost of goods sold. Depreciation expense is $1,400 per month. All other selling and administrative expenses are paid in full in the month the expense is incurred Required: 1. Calculate the expected cash collections for April, May, and June. 2. Calculate the budgeted merchandise purchases for April May, and June 3. Calculate the expected cash disbursements for merchandise purchases for April, May, and June 4. Prepare a budgeted balance sheet at June 30th (Hint You need to calculate the cash paid for selling and administrative expenses during April, May, and June to determine the cash balance in your June 30th balance sheet) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the expected cash disbursements for merchandise purchases for April, May, and June. April May June Budgeted cash disbursements for merchandise purchases Quarter