PLEASEEE HELP! Welnor Industrial Gas Corporation supplies acetylene and other co

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PLEASEEE HELP!

Welnor Industrial Gas Corporation supplies acetylene and other compressed gases to industry. Data regarding the store's operations follow . Sales are budgeted at $300,000 for November, $320,000 for December, and $310,000 for January . Collections are expected to be 75% in the month of sale, 23% in the month following the sale, and 2% uncollectible ·The cost of goods sold is 75% of sales ·The company desires ending merchandise inventory to equal 70% of the following month's cost of goods sold. Payment for merchandise is made in the month following the purchase. . Other monthly expenses to be paid in cash are $21,600. . Monthly depreciation is $16,600 . Ignore taxes Balance Sheet October 31 Assets Cash Accounts receivable (net of allowance for uncollectible accounts) Merchandise Inventory Property, plant and equipment (net of $664,000 accumulated depreciation) S 22,600 82.600 157,500 1,170,000 Total assets S 1,432,700 Liabilities and Stockholders' Equity Accounts payable Common stock Retained earnings S 199,600 900,000 333,100 Total liabilities and stockholders' equity S 1,432,700

Explanation / Answer

Answer:

Welnor Industrial Gas Corporation Budgeted Balance Sheet 31-Dec Assets Cash 160900 Accounts receivable 73600 Merchandise inventory 162750 PPE 1136800 Total Assets 1534050 Liabilities and stockholder equity Accounts Payable 234750 Common stock 900000 Rtained earnings 399300 Total liabilities and stockholder equity 1534050

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