Beechs managers have made the following additional assumptions and estimates:

1. Estimated sales for July, August, September, and October will be $280,000, $300,000, $290,000, and $310,000, respectively.

2. All sales are on credit and all credit sales are collected. Each months credit sales are collected 45% in the month of sale and 55% in the month following the sale. All of the accounts receivable at June 30 will be collected in July.

3. Each months ending inventory must equal 15% of the cost of next months sales. The cost of goods sold is 70% of sales. The company pays for 30% of its merchandise purchases in the month of the purchase and the remaining 70% in the month following the purchase. All of the accounts payable at June 30 will be paid in July.

4. Monthly selling and administrative expenses are always $52,000. Each month $5,000 of this total amount is depreciation expense and the remaining $47,000 relates to expenses that are paid in the month they are incurred.

5. The company does not plan to borrow money or pay or declare dividends during the quarter ended September 30. The company does not plan to issue any common stock or repurchase its own stock during the quarter ended September 30.

. Beech's managers have made the following additional assumptions and estimates 1. Estimated sales for July August September, and October will be 5280.000 $300,000, 5200.000, and $310 000, respectively 2. All sales are on credit and all credits are collected. Each month's credit sales are collected 4596 in the month of sale and 58% in the month following the sale of the accounts receivable at June 30 will be collected in July 3. Each month's ending inventory must equal t% of the cost of next month's sales. The cost of goods sold a 70% of sales. The company pays for 30% of its merchandise purchases in the month of the purchase and the 4. Monthly selling and administrative expenses are always $52.000. Each month $5,000 ofis total amount is depreciation expense and the remaining 547,000 relates to expenses that are paid in the month they are nourred. The company coes not plan to borrow money or pay or declare dividends during the quarter ended September 30. The company does not plan to sue any common stock or repurchase ts own stock during te quarter ended September 30 Required: Prepare a schedule of expected cash collection for July August, and September. Also compute lotet cash collections for the quarter ended September 30 Schedule of Expected Coh Collection Month July August September Quarter From accounts receivable $ 0 Fromy From August sales From September sales Teached os 0 0 Os 08 0 2. Prepare a merchandisa puthates budgut tot July, August, and September. Nuo compute totut merchandit purchases for the quarter and September 30, Merchandise Purchases Budget July August September Total Dupied code to Toode Ford