a. As of December 31 (the end of the prior quarter), the company's general ledger showed the following account balances: b. Actual sales for December and budgeted sales for the next four months are as follows: c. Sales are 20% for cash and 80% on credit Al payments on credit sales are collected in the month following sale. The occounts receivable at December 31 are a result of December credit sales. d. The company's gross margin is 40% of sales. (in other words, cost of goods sold is 60% of sales) e. Monthly expenses are budgeted as follows: solaries and wages, $35,000 per month: advertising. $61,000 per month; shipping. 5% of sales; other expenses, 3\% of sales. Depreciation, including depreciation on new assets acquired during the quartec, will be $45,300 for the quarter. 1. Each month's ending inventory should equal 25% of the following month's cost of goods sold. 9. One-half of a month's inventory purchases is paid for in the month of purchase; the other half is paid in the following month h. Duting Februery, the compeny will purchase a new copy machine for $3,000 cash. During March, other equipment wit be purchased for cash at a cost of $80,000. 1. During January, the company will deciare and pay $45,000 in cash dividends. 1. Manegement wants to maintain a minimum cash balance of $30.000. The company has an agreement with a local bank that allows the compeny to borrow in increments of $1,000 at the beginning of each month. The interest rate on these loans is tis per month and for simplicity we will assume that interest is not compounded. The company would, as far as it is able, repay the loan plus accumulated interest at the end of the quarter. Required: Using the dota above, complete the following statements and schedides for the first quarter 1. Schedule of expected cash collections: 2-a. Merchandise purcheses budget 2.b. Schedule of expected cash disbursements for merchandise purchases: 3. Cash budget 4. Prepare an absorption costing income statement for the quarter ending March 31 . 5. Prepare a balance sheet as of March 31. Required: Using the data above, complete the following statements and schedules for the first quarter: 1. Schedule of expected cash collections: 2-a. Merchandise purchases budget: 2-b. Schedule of expected cash disbursements for merchandise purchases: 3. Cash budget: 4. Prepare an absorption costing income statement for the quarter ending March 31 . 5. Prepare a balance sheet as of March 31. Complete this question by entering your answers in the tabs below. Complete the Schedule of expected cash collections: Using the data above, complete the following statements and schedules for the first quarter: 1. Schedule of expected cash collections: 2-a. Merchandise purchases budget: 2-b. Schedule of expected cash disbursements for merchandise purchases: 3. Cash budget: 4. Prepare an absorption costing income statement for the quarter ending March 31. 5. Prepare a balance sheet as of March 31 . Complete this question by entering your answers in the tabs below. Complete the merchandise purchases budget: 1. Schedule of expected cash collections: 2 -a. Merchandise purchases budget: 2-b. Schedule of expected cash disbursements for merchandise purchases: 3. Cash budget: 4. Prepare an absorption costing income statement for the quarter ending March 31. 5. Prepare a balance sheet as of March 31. Complete this question by entering your answers in the tabs below. Complete the schedule of expected cash disbursements for merchandise purchases. Required: Using the data above, complete the following statements and schedules for the first quarter: 1. Schedule of expected cash collections: 2-a. Merchandise purchases budget: 2-b. Schedule of expected cash disbursements for merchandise purchases: 3. Cash budget: 4. Prepare an absorption costing income statement for the quarter ending March 31 . 5. Prepare a balance sheet as of March 31. Complete this question by entering your answers in the tabs below. Complete the cash budget. (Cash deficiency, repayments and interest should be indicated by a min Using the data above, complete the following statements and schedules for the first quarter: 1. Schedule of expected cash collections: 2-a. Merchandise purchases budget: 2-b. Schedule of expected cash disbursements for merchandise purchases: 3. Cash budget: 4. Prepare an absorption costing income statement for the quarter ending March 31. 5. Prepare a balance sheet as of March 31. Complete this question by entering your answers in the tabs below. Prepare an absorption costing income statement for the quarter ending March 31 . Required: Using the data above, complete the following statements and schedules for the first quarter: 1. Schedule of expected cash collections: 2-a. Merchandise purchases budget: 2-b. Schedule of expected cash disbursements for merchandise purchases: 3. Cash budget: 4. Prepare an absorption costing income statement for the quarter ending March 31. 5. Prepare a balance sheet as of March 31. Complete this question by entering your answers in the tabs below. Prepare a balance sheet as of March 31