Chapter 3 Problem 16 aUsing the information provided, construct a monthly cash budget for October through December 2021. Based on your analysis, will Noble enjoy a surfeit of cash, or require external financing?bConstruct a pro forma income statement for the fiscal quarter ending December 31, 2021 and a pro forma balance sheet as of December 31, 2021. What is your estimated external financing needed for December 31?cDoes the December 31, 2021, estimated external financing equal your cash surplus (deficit) for this date from your cash budget? Noble Selected Information and Financial Statements Sales (20 percent for cash, the rest on 30-day credit terms): 2021 Actual 2021 Projected JulyAugustSeptemberOctoberNovemberDecember 76,000 88,000 266,000 125,000 51,000 53,000 Purchases (all on 60-day terms): 2021 Actual 2021 Projected JulyAugustSeptemberOctoberNovemberDecember 116,000 122,000 257,000 62,000 27,000 26,000 Salaries payable monthly 20,000 Principal payment on debt due in December25,700 Interest payment due in December 9,000 Dividend payable payment in December15,000 Taxes payable payment in November19,000 Addition to accumulated depreciation in December4,000 Cash balance on October 1, 2021 34,000 Minimum desired cash balance 15,000 Nobles annual income statement and balance sheet for September 30, 2021 appear below. Additional information about the company's accounting methods and expectations for the last three months of 2021 appear in the footnotes. Noble Annual Income Statement Fiscal Year ended September 30, 2021 ($ 000) Net sales 1,581.6 Cost of goods sold¹1,098.0 Gross profits 483.6 Selling and administrative expenses²240.0 Interest expense 18.0 Depreciation³ 16.0 Net profit before tax209.6 Tax at 33% 69.2 Net profit after tax 140.4 Noble Balance Sheet September 30, 2021 ($ 000) Assets Cash 34.0 Accounts receivable⁴212.8 Inventory⁵ 425.0 Total current assets671.8 Gross fixed assets⁵ 135.0 Accumulated depreciation52.0 Net fixed assets 83.0 Total assets 754.8 Liabilities Bank loan 0.0 Accounts payable⁶379.0 Accrued expenses⁷55.0 Current portion long-term debt⁸25.7 Taxes payable⁹ 56.0 Total current liabilities515.7 Long-term debt⁵ 120.0 Shareholders' equity119.1 Total liabilities and equity754.8 ¹. Cost of goods sold consists entirely of items purchased during the quarter. ². Selling and administrative expenses consist entirely of salaries. ³. Depreciation is straight-line at the rate of $4,000 per quarter. ⁴. Accounts receivable equals the outstanding credit sales at the end of December. ⁵. Inventory, gross fixed assets, and long-term debt balances do not change. ⁶. Accounts payable equals the outstanding purchases at the end of December. ⁷. Accrued expenses are not expected to change in the last quarter. ⁸. $25.7 due December 2021. No payments for remainder of year. ⁹. Taxes payable decreases by the tax payments and increases by taxes calculated on the income statement.

With formulas please