Deacon Company is a merchandising company that is preparing a budget for the three-month period ended June 30th. The following information is available Deacon Company Balance Sheet March 31 Assets Cash Accounts receivable Inventory Buildings and equipment, net of depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Common stock Retained earnings Total liabilities and stockholders' equity $ 61,400 32,400 58,300 148,000 $ 300,100 $ 105,100 70,000 125,000 300,100 Budgeted Income Statements April May June Sales Cost of goods sold Gross margin Selling and administrative expenses_18,300 $161,000 171,000 $191,000 96,600 _102,600 _114,600 76, 400 22,800 64,400 68,400 19,800 perating income $ 46,100 48,600 53,600