Dimsdale Sports, a merchandising company, reports the following balance sheet at December 31. Cash Assets Accounts...

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Dimsdale Sports, a merchandising company, reports the following balance sheet at December 31. Cash Assets Accounts receivable Inventory Equipment DIMSDALE SPORTS COMPANY Balance Sheet December 31 $ 21,000 520,000 157,500 $ 588,000 73,500 514,500 $ 1,213,000 Less: Accumulated depreciation Total assets Liabilities Liabilities and Equity Accounts payable Loan payable Taxes payable (due March 15) Equity Common stock Retained earnings Total liabilities and equity $ 375,000 13,000 91,000 $ 474,000 260,000 479,000 734,000 $ 1,213,000 Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Merchandise purchases budgets. DIMSDALE SPORTS Merchandise Purchases Budget Budgeted sales units January 7,250 February March Total 9,000 - 10,750 Add: Desired ending inventory Next period budgeted sales units 9,000 ✓ 10,750 10,500✓ Ratio of inventory to future sales 20%✓ 20% 20% Desired ending inventory units 1,800 ✓ 2,150 2,100 Total required units 10,800 × 10.800 x 12,600 x Less: Beginning inventory units 7,000 x Units to be purchased 3,800 ✓ 2,150 x 2,100 × 8,050 Cost per unit $ 30 $ 30 $ 30 $ 30 Cost of merchandise purchases $ 103,500 $ 64,500 $ 63,000 $ 241,500 < Required 1 Required 3 > Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Cash budgets. Note: Negative balances and Loan repayment amounts (if any) should be indicated with minus sign. Round your final answers to the nearest whole dollar. DIMSDALE SPORTS COMPANY Beginning cash balance Add: Cash receipts from sales Total cash available Less: Cash payments for: Purchases of equipment Sales commissions Sales salaries General and administrative salaries Cash Budget January 21,000 243,975 264,975 February March 741,929 518,486 ☑ (36,000) ▼ (91,200) ✓ (19,200) ✓ ✓ ✓ Loan interest Taxes ☑ Purchase of land ✓ Maintenance ✓ Merchandise purchases 70,000 ✔ Total cash payments Preliminary cash balance Ending cash balance Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month 145,000 34,000 (91,200) 125,800 Loan balance January S 13,000 130 x February March < Required 5 Required 7 > Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Budgeted income statement for the entire first quarter (not for each month). Note: Round your final answers to the nearest whole dollar. DIMSDALE SPORTS COMPANY Budgeted Income Statement For Three Months Ended March 31 Sales Cost of goods sold Gross profit ☑ Selling, general and administrative expenses Depreciation expense ☑ General administrative salaries expense Sales salaries expense ☑ Maintenance expense Sales commissions expense Loan interest expense Total operating expenses Income before income taxes Income taxes expense Net income < Required 6 0 0 $ 0 Required 8 > Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Budgeted balance sheet as of March 31. Note: Round your final answers to the nearest whole dollar. Cash Accounts receivable Inventory Land Equipment DIMSDALE SPORTS COMPANY Budgeted Balance Sheet March 31 Assets Less: Accumulated depreciation Total assets ☑ ✓ 0 Liabilities and Equity Liabilities Accounts payable Salaries payable Equity ✓ × 0 Accumulated depreciation × Accounts payable × 0 Total Liabilities and Equity < Required 7 Required 8 > Dimsdale Sports, a merchandising company, reports the following balance sheet at December 31. Cash Assets Accounts receivable Inventory Equipment DIMSDALE SPORTS COMPANY Balance Sheet December 31 $ 21,000 520,000 157,500 $ 588,000 73,500 514,500 $ 1,213,000 Less: Accumulated depreciation Total assets Liabilities Liabilities and Equity Accounts payable Loan payable Taxes payable (due March 15) Equity Common stock Retained earnings Total liabilities and equity $ 375,000 13,000 91,000 $ 474,000 260,000 479,000 734,000 $ 1,213,000 Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Merchandise purchases budgets. DIMSDALE SPORTS Merchandise Purchases Budget Budgeted sales units January 7,250 February March Total 9,000 - 10,750 Add: Desired ending inventory Next period budgeted sales units 9,000 ✓ 10,750 10,500✓ Ratio of inventory to future sales 20%✓ 20% 20% Desired ending inventory units 1,800 ✓ 2,150 2,100 Total required units 10,800 × 10.800 x 12,600 x Less: Beginning inventory units 7,000 x Units to be purchased 3,800 ✓ 2,150 x 2,100 × 8,050 Cost per unit $ 30 $ 30 $ 30 $ 30 Cost of merchandise purchases $ 103,500 $ 64,500 $ 63,000 $ 241,500 < Required 1 Required 3 > Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Cash budgets. Note: Negative balances and Loan repayment amounts (if any) should be indicated with minus sign. Round your final answers to the nearest whole dollar. DIMSDALE SPORTS COMPANY Beginning cash balance Add: Cash receipts from sales Total cash available Less: Cash payments for: Purchases of equipment Sales commissions Sales salaries General and administrative salaries Cash Budget January 21,000 243,975 264,975 February March 741,929 518,486 ☑ (36,000) ▼ (91,200) ✓ (19,200) ✓ ✓ ✓ Loan interest Taxes ☑ Purchase of land ✓ Maintenance ✓ Merchandise purchases 70,000 ✔ Total cash payments Preliminary cash balance Ending cash balance Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month 145,000 34,000 (91,200) 125,800 Loan balance January S 13,000 130 x February March < Required 5 Required 7 > Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Budgeted income statement for the entire first quarter (not for each month). Note: Round your final answers to the nearest whole dollar. DIMSDALE SPORTS COMPANY Budgeted Income Statement For Three Months Ended March 31 Sales Cost of goods sold Gross profit ☑ Selling, general and administrative expenses Depreciation expense ☑ General administrative salaries expense Sales salaries expense ☑ Maintenance expense Sales commissions expense Loan interest expense Total operating expenses Income before income taxes Income taxes expense Net income < Required 6 0 0 $ 0 Required 8 > Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Budgeted balance sheet as of March 31. Note: Round your final answers to the nearest whole dollar. Cash Accounts receivable Inventory Land Equipment DIMSDALE SPORTS COMPANY Budgeted Balance Sheet March 31 Assets Less: Accumulated depreciation Total assets ☑ ✓ 0 Liabilities and Equity Liabilities Accounts payable Salaries payable Equity ✓ × 0 Accumulated depreciation × Accounts payable × 0 Total Liabilities and Equity < Required 7 Required 8 >

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