Question

PLEASE ANSWER ALL QUESTIONS FOR EACH SECTION FOR #7,8,9,10; THE ANSWER FOR THOSE QUESTIONS ARE FROM SECTIONS1,2,3,4,5,6. Answer them correctly and take your time and fill ineach section where it needs an answer. Please help.

[The following information applies to the questionsdisplayed below.]

The management of Zigby Manufacturing prepared the followingestimated balance sheet for March, 2015:

ZIGBY MANUFACTURING Estimated Balance Sheet March 31, 2015
Assets
Cash	$	99,000
Accountsreceivable		500,250
Raw materialsinventory		101,000
Finished goodsinventory		402,500
Total current assets		1,102,750
Equipment,gross		618,000
Accumulateddepreciation		(159,000)
Equipment, net		459,000
Total assets	$	1,561,750
Liabilities and Equity
Accountspayable		209,700
Short-term notes payable		21,000
Total current liabilities	$	230,700
Long-term notepayable		505,000
Total liabilities		735,700
Common stock		344,000
Retainedearnings		482,050
Total stockholders’ equity		826,050
Total liabilitiesand equity	$	1,561,750

To prepare a master budget for April, May, and June of 2015,management gathers the following information.

a.	Sales for March total 23,000 units. Forecasted sales in unitsare as follows: April, 23,000; May, 19,000; June, 18,800; July,23,000. Sales of 249,000 units are forecasted for the entire year.The product’s selling price is $29.00 per unit and its totalproduct cost is $25.00 per unit.
b.	Company policy calls for a given month’s ending raw materialsinventory to equal 50% of the next month’s materials requirements.The March 31 raw materials inventory is 5,050 units, which complieswith the policy. The expected June 30 ending raw materialsinventory is 4,500 units. Raw materials cost $20 per unit. Eachfinished unit requires 0.50 units of raw materials.
c.	Company policy calls for a given month’s ending finished goodsinventory to equal 70% of the next month’s expected unit sales. TheMarch 31 finished goods inventory is 16,100 units, which complieswith the policy.
d.	Each finished unit requires 0.50 hours of direct labor at a rateof $24 per hour.
e.	Overhead is allocated based on direct labor hours. Thepredetermined variable overhead rate is $3.60 per direct laborhour. Depreciation of $24,320 per month is treated as fixed factoryoverhead.
f.	Sales representatives’ commissions are 10% of sales and are paidin the month of the sales. The sales manager’s monthly salary is$3,900.
g.	Monthly general and administrative expenses include $10,000administrative salaries and 0.8% monthly interest on the long-termnote payable.
h.	The company expects 25% of sales to be for cash and theremaining 75% on credit. Receivables are collected in full in themonth following the sale (none is collected in the month of thesale).
i.	All raw materials purchases are on credit, and no payables arisefrom any other transactions. One month’s raw materials purchasesare fully paid in the next month.
J.	The minimum ending cash balance for all months is $110,000. Ifnecessary, the company borrows enough cash using a short-term noteto reach the minimum. Short-term notes require an interest paymentof 1% at each month-end (before any repayment). If the ending cashbalance exceeds the minimum, the excess will be applied to repayingthe short-term notes payable balance.
K.	Dividends of $19,000 are to bedeclared and paid in May.

l.	No cash payments for income taxes are to be made during thesecond calendar quarter. Income tax will be assessed at 40% in thequarter and paid in the third calendar quarter.
m.	Equipment purchases of $139,000 are budgeted for the last day ofJune.

Required:

Prepare the following budgets and other financial information asrequired. All budgets and other financial information should beprepared for the second calendar quarter, except as otherwise notedbelow. Round calculations up to the nearest whole dollar, exceptfor the amount of cash sales, which should be rounded down to thenearest whole dollar:

1. SALES BUDGET

ZIGBY MANUFACTURING
Sales Budget
April, May, and June 2015
	Budgeted Unit Sales	Budgeted Unit Price	Budgeted Total Dollars
April 2015	23,000	$29.00	667,000
May 2015	19,000	29.00	551,000
June 2015	18,800	29.00	545,200
Totals for the quarter	60,800		1,763,200

2.

Production budget.

ZIGBY MANUFACTURING
Production Budget
April, May, and June 2015
	April	May	June	Total
Next month's budgeted sales(units)	19,000	18,800	23,000
Ratio of inventory to future sales	70%	70%	70%
Budgeted ending inventory (units)	13,300	13,160	16,100
Budgeted units sales for month	23,000	19,000	18,800
Required units ofavailable production	36,300	32,160	34,900
Beginning inventory (units)	16,100	13,300	13,160
Unitsto be produced	20,200	18,860	21,740	60,800

3. Raw materials budget.

ZIGBY MANUFACTURING
Raw Materials Budget
April, May, and June 2015
	April	May	June	Total
Production budget (units)	20,200	18,860	21,740
Materials requirements per unit	0.50	0.50	0.50
Materials needed for production	10,100	9,430	10,870
Budgeted ending inventory	4,715	5,435	4,500
Total materialsrequirements (units)	14,815	14,865	15,370
Beginning inventory	5,050	4,715	5,435
Materials to be purchased	9,765	10,150	9,935	29,850
Material price per unit	$20	$20	$20	$20
Total cost of direct materialpurchases	$195,300	$203,000	$198,700	$597,000

4.

Direct labor budget.

ZIGBY MANUFACTURING
Direct Labor Budget
April, May, and June 2015
	April	May	June	Total
Budgeted production (units)	20,200	18,860	21,740
Laborrequirements per unit (hours)	0.50	0.50	0.50
Totallabor hours needed	10,100	9,430	10,870	30,400
Laborrate (per hour)	$24	$24	$24	$24
Labor dollars	$242,400	$226,320	$260,880	$729,600

5.

Factory overhead budget.

ZIGBY MANUFACTURING
Factory Overhead Budget
April, May, and June 2015
	April	May	June	Total
Labor hours needed	10,100	9,430	10,870
Variable factory overhead rate	3.60	3.60	3.60
Budgeted variable overhead	$36,360	$33,948	$39,132	$109,440
Budgeted fixed overhead	24,320	24,320	24,320	72,960
Budgeted total overhead	$60,680	$58,268	$63,452	$182,400

6.

Selling expense budget.

ZIGBY MANUFACTURING
Selling Expense Budget
April, May, and June 2015
	April	May	June
Budgeted sales
Salescommission percent	10%
Sales commissions
Salessalaries	3,900
Totalselling expenses

7.

General and administrative expense budget.

ZIGBY MANUFACTURING
General and AdministrativeExpense Budgets
April, May, and June 2015
	April	May	June
Salaries
Interest on long-term note
Totalexpenses

8.

Cash budget. (Negative balance and Loan repayment amountshould be indicated with minus sign. Round your answers to 2decimal places.)

Calculation of Cash receipts fromcustomers:
		April	May	June
Total budgeted sales
Cash sales	25%
Sales on credit	75%
Total cashreceipts from customers
		April	May	June
Current month's cash sales
Collections of receivables

ZIGBYMANUFACTURING
Cash Budget
April, May, and June 2015
	April	May	June
Beginning cash balance
Cashreceipts from customers
Total cash available
Cash disbursements:
Payments for raw materials
Payments for direct labor
Payments for variable overhead
Salescommissions
Salessalaries
General & administrative salaries
Taxespaid
Dividends
Loan interest
Purchases of equipment
Total cash disbursements	0	0	0
Preliminary cash balance
Additional loan (loan repayment)
Ending cash balance
Loan balance
	April	May	June
Loan balance - Beginning of month
Additional loan (loan repayment)
Loan balance - End of month

9. Budgeted income statement for the entirefirst quarter (not for each month separately).

ZIGBYMANUFACTURING
Budgeted IncomeStatement
For Three MonthsEnded June 30, 2015
Sales
Costof goods sold
Grossprofit
Operating expenses
Salescommissions
Salessalaries
General administrative salaries
Interest expense
Long-term note interest
Totaloperating expenses		0
Incomebefore taxes		0
Incometax
Netincome		$0

10. Budgeted balance sheet.

ZIGBY MANUFACTURING
Budgeted Balance Sheet
June 30, 2015
Assets
Cash
Accounts receivable
Rawmaterials inventory
Finished goods inventory
Totalcurrent assets		$0
Equipment
Accumulated depreciation
Equipment, net		0
Totalassets
Liabilities andEquity
Liabilities
Accounts payable
Income taxes payable
Bank loan payable
Totalcurrent liabilities
Long-term note payable
Stockholders'Equity
Commonstock
Retained earnings
TotalStockholders' Equity
TotalLiabilities and Equity

PLEASE SOLVE ALL NECESSARY Questions!!!!

SORRY ABOUT MISSING INFORMATION IT IS ALL HERE NOW!!!