The management of Mecca Copy, a photocopying center on University Avenue, has compiled data to prepare its projected balance sheet for the upcoming year. The data includes the following projected ending balances: - Cash: (amount not provided) - Accounts Receivable: $8,900 - Supplies Inventory: $5,500 - Equipment: $38,000 - Accumulated Depreciation: $15,400 - Accounts Payable: $2,600 - Common Stock: $5,000 - Retained Earnings: (amount not provided) The beginning balance of retained earnings was $25,000, with a projected net income of $21,100 and budgeted dividends of $3,500.

To prepare the projected balance sheet for Mecca Copy, we first need to calculate the ending balance of Retained Earnings and determine the amount of Cash. Let's start by computing the retained earnings.

The Retained Earnings at the end of the year can be computed by taking the beginning balance of Retained Earnings, adding the net income for the year, and subtracting any dividends that are paid out. The formula looks like this:

\[ \text{Ending Retained Earnings} = \text{Beginning Retained Earnings} + \text{Net Income} - \text{Dividends} \]

Plugging in the values we have:

\[ \text{Ending Retained Earnings} = \$25,000 + \$21,100 - \$3,500 \] \[ \text{Ending Retained Earnings} = \$25,000 + \$21,100 - \$3,500 \] \[ \text{Ending Retained Earnings} = \$42,600 \]

So, the projected ending balance for Retained Earnings is $42,600.

Now, to prepare a balance sheet, we need to ensure that the equation Assets = Liabilities + Owners' Equity holds true. Let's list down what we know so far:

Assets: - Cash: (to be determined) - Accounts Receivable: $8,900 - Supplies Inventory: $5,500 - Equipment: $38,000 - Less Accumulated Depreciation: ($15,400) - Total Assets = Cash + $8,900 + $5,500 + ($38,000 - $15,400)

Liabilities and Owners' Equity: - Accounts Payable: $2,600 - Common Stock: $5,000 - Retained Earnings: $42,600 - Total Liabilities and Owners' Equity = $2,600 + $5,000 + $42,600

With the above information, we can determine Cash by rearranging the balance sheet equation:

\[ \text{Assets} = \text{Liabilities} + \text{Owners' Equity} \] \[ \text{Cash} + \text{Other Assets} = \text{Liabilities} + \text{Owners' Equity} \] \[ \text{Cash} = (\text{Liabilities} + \text{Owners' Equity}) - \text{Other Assets} \]

Calculating total assets other than cash:

\[ \text{Other Assets} = \$8,900 + \$5,500 + (\$38,000 - \$15,400) \] \[ \text{Other Assets} = \$8,900 + \$5,500 + \$22,600 \] \[ \text{Other Assets} = \$37,000 \]

Now, calculating total liabilities and owners' equity:

\[ \text{Total Liabilities and Owners' Equity} = \$2,600 + \$5,000 + \$42,600 \] \[ \text{Total Liabilities and Owners' Equity} = \$50,200 \]

Finally, we can find out the Cash balance:

\[ \text{Cash} = \$50,200 - \$37,000 \] \[ \text{Cash} = \$13,200 \]

So, the projected Cash balance on the balance sheet for the upcoming year is $13,200.