1. Expected monthly sales for April, May June and July are $200,000, $170.000, $290.000, and $70,000, respectively 2. Cost of goods sold is 40 percent of expected sales 3 CGC's desired ending inventory is 25 percent of the following month's cost of goods sold. 4 Monthly operating expenses are estimated to be: Salaries: $31,000 Delivery expense: 6 percent of monthly sales Rent expense on the warehouse $3, 500 Utilities: $700 Insurance: $150 Other expenses $250 1. Compute the budgeted cost of purchases for each month in the second quarter. 2. Complete the budgeted income statement for each month in the second quarter