Wolfpack Company is a merchandising company that is preparing a budget for the month of July....

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6 8 9 10 11 12 13 a. Budgeted sales for July Expected cash collection during July Less: collection of Accounts receivable at June 30 Collection of July sales in July /% of collection in same month Budgeted sales for July $102,700 $65,800 $36,900 30% $123,000 14 b. Budgeted Merchandise purchases for July 17 18 19 Expected cash disbursement for merchandise purchases Less: Paymeny of Accounts payable at June 30 Collection of July sales in July /% of payment in same month Budgeted Merchandise purchases for July $72,600 $60,400 $12,200 20% $61,000 20 21 24 25 c. Budgeted cost of goods sold for July Budgeted Merchandise purchases for July Add: Inventory at June 30 Total available merchandise for sale Less: budgeted inventory at July 31 Budgeted cost of goods sold $61,000 $35,200 $96,200 $22,400 $73,800 27 28 29 30 31 32 33 34 d. Budgeted Net operating income for July Budgeted sales for July Less: Cost of goods sold Gross profit Less: total selling and administrative expenses (20320 + 4280) Budgeted Net operating income $123,000 $73,800 $49,200 $24,600 $24,600 35 36 37 38 39 40 Sheet29 Sheet181 (29) Sheet181 (30) Sheet578 Sheet31

10 Amount 11 Balance Sheet- Wolfpack company 31-Jul Particulars Assets: Cash ($78400 + $102700 - $72600 - $20320) Accounts receivables ($123,000*70%) Inventory Buildings and equipment net of depreciation ($214000 - $4280) Total Assets $88,180 $86,100 $22,400 14 15 $209,720 $406,400 16 18 20 Liabilities and stockholder's Equity: Accounts payable ($61000*80%) Common Stock Retained Earnings ($233000 + $ 24600) Total liabilities and stockholders equity $48,800 $100,000 $257,600 $406,400 21 22 23 24 25 26 27 29 30 31 32 33 34 Sheet29 Sheet181 (29) Sheet181 (30) Sheet578 Sheet31