Crane Company prepares monthly cash budgets. Relevant data from operating budgets for 2022 are as follows. Sales Direct materials purchases Direct labor Manufacturing overhead Selling and administrative expenses Other data: 1. 2. January February $381,600 $424,000 3. 127,200 95,400 74,200 83,740 132,500 All sales are on account. Collections are expected to be 50% in the month of sale, 30% in the first month following the sale, and 20% in the second month following the sale. Sixty percent (60%) of direct materials purchases are paid in cash in the month of purchase, and the balance due is paid in the month following the purchase. All other items above are paid in the month incurred except for selling and administrative expenses that include $1,060 of depreciation per month. 106,000 79,500 90,100 Credit sales: November 2021, $265,000; December 2021, $339,200. Purchases of direct materials: December 2021, $106,000. Other receipts: January-Collection of December 31, 2021, notes receivable $15,900;

Prepare schedules for (1) eppected collections fromicuntomers and (2) expected avments for direct materials purchayes for Januaryand February. (b) Crane Company prepares monthly cash budgets. Relevant data from operating budgets for 2022 are as follows. All sales are on account. Collections are expected to be 50x in the month of sale, 30x in the firstimonth following the sale. and 200 in the second month following the sale. Sixty percent (60)6) of direct materials purchases are paid in cash in the month of purchase, and administrative expenses that inchide 51060 ot depreciation per month. Other data: 1 Credit sales Navember 2021,5265,000; Deceinber 2021, 5339,200. 2. Purchases of direct materials: Dectmber 2021 i 5106.000 . 3. Other receipts: January-Coliection of Decentier 31,2021 , notus recelvabie 515,900