Aztec Company sells its product for $170 per unit. Its actual and budgeted sales follow April (actual) May (actual) 3,800 646,000 June 5,500 935,000 (budge July ted) 7,000 1,190,000 7,000 1,190,000 August (budgeted) 4,500 765,000 All sales are on credit. Recent experience shows that 24% of credit sales is colected in the month ofthe sale, 46% in the month fter the sale, 25% in the second month after the sale, and 5% proves to be uncolectible. The product's purchase price is $110 per unit 60% of purchases made in a month is paid inthat month and the other 40% is paid in the next month. The company has a policy to maintain an ending monthly inventory of 20% of the next month's unit sales plus a safety stock of 125 units. The April 30 and May 31 actual inventory levels are consistent with this policy Selling and administrative expenses for the year are $1,668,000 and are paid evenly throughout the year in cash The company's minimum cash balance at month end is $110,000. This minimum is maintained, if necessary, by borrowing cash from the bank. If the balance exceeds $110,000, the company repays as much of the loan as it can without going below the minimum. This type of loan carries an annual 14% interest rate. On May 31, the loan balance is S31.500, and the company's cash balance is $110,000. 1. Prepare a schedule that shows the computation of cash collections of its credit sales (accounts receivable) in each of the months of June and July 2. Prepare a schedule that shows the computation of budgeted ending inventories (in units) for April, May, June, and July. 3. Prepare the merchandise purchases budget for May, June, and July. Report calculations in units and then show the dollar amount of purchases for each month. 4. Prepare a schedule showing the computation of cash peyments for product purchases for June and July. S. Prepare a cash budget for June and July, including any loan activity and interest expense Compute the loan balance at the end of each month Complete this question by entering your answers in the tabs below Required Required Required Required Required Prepare a schedule that shows the computation of cash collections of its credit sales (accounts receivable) in each of the months of June and July Credit sales April Credit sales April 935,000 546 190 190 st765, Required 2 >