Blue Spruce Company budgeted the following information for 2022 : - Cost of goods sold is 40% of sales. Accounts payable is used only for merchandise inventory acquisitions. - Blue Spruce purchases and pays for merchandise 60% in the month of acquisition and 40% in the following month. - Selling and administrative expenses are budgeted at $30,000 for May and are expected to increase 5% per month. These expenses are paid during the month when incurred. In addition, depreciation is budgeted at $10,000 per month. - Income taxes are $38,900 for July and are paid in the month incurred