(Answered) : The management of Zigby Manufacturing prepared the following estimated balance sheet for March 2017: ZIGBY MANUFACTURING Est

The management of Zigby Manufacturing prepared the following estimated balance sheet for March 2017:

ZIGBY MANUFACTURING
Estimated Balance Sheet
March 31, 2017
Assets
Cash $ 50,000
Accounts receivable 434,240
Raw materials inventory 84,210
Finished goods inventory 368,000
Total current assets 936,450
Equipment, gross 602,000
Accumulated depreciation (151,000 )
Equipment, net 451,000
Total assets $ 1,387,450
Liabilities and Equity
Accounts payable $ 196,610
Short-term notes payable 12,000
Total current liabilities 208,610
Long-term note payable 505,000
Total liabilities 713,610
Common stock 336,000
Retained earnings 337,840
Total stockholders’ equity 673,840
Total liabilities and equity $ 1,387,450

To prepare a master budget for April, May, and June of 2017, management gathers the following information:

Sales for March total 23,000 units. Forecasted sales in units are as follows: April, 23,000; May, 15,300; June, 20,400; and July, 23,000. Sales of 241,000 units are forecasted for the entire year. The product’s selling price is $23.60