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Required information [The following information applies to the questions displayed below] Beech Corporation is a merchandising company that is preparing a master budget for the third quarter. The comparty's balance sheet as of June 30th is shown below: Beech's manegen mode the following oddiponol assumptions and estimates: Beech's managers made the following additional assumptions and estimates: 1. Estimated soles for July. August, September, and October will be $210,000,$230,000,$220,000, and $240,000, respectively 2. Ali sales are on credit and ail credit soles are collected. Each month's credit sales are collected 35% in the month of sale ond 65% in the month following the sole. All of the accounts receivoble ot June 30 will be collected in fuly 3. Each month's ending inventoly must equal 30% of the cost of next month's sales. The cost of goods sold is 60% of sales, The company pays for 40% of its merchandise purchoses in the mionth of the purchose and the remaining 60% in the month following the purchase. All of the accouns payable at June 30 will be paid in July. 4 Monthly selling and administrotive expenses ore always $60,000. Each month $5,000 of this total amount is depreciation expense and the remaining $55,000 relotes to expenses that are poid in the month they are incurred: 5. The company does not plan to borrow money or pay or declare dividends duting the quarter ended September 30 The company does not plan to lissue any common stock or repurchose its own stock during the quorter ended September 30 Requited: 1. Prepare a schedule of expected cash coliections for July, August, ond September. Also, compute total cosh collections for the quorterended September 30 2-a. Prepare o merchandise purchaves budget for July. August ond Septembec Also, compute total merchondise purchases for the quorter ended September 30 2.b. Prepare a schecule of expected casn disbursements for merchancilse purchotes for July. August: and September Also, compute total cosh disursements for merchordise purchsses for the quorter ended september 30. 3 Prepare an income statement for the quorter ended September 30 . 4 Prepore o bolante sheet os of September 30 Required information

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