Excel Case Assume that Sky's the Limit Parachute Company's budgeted income statement is as follows: Quarter 1 Quarter 2 Quarter 3 Quarter 4 Budgeted Sales $40,000,000 $35,000,000 $45,000,000 $50,000,000 Revenue Budgeted Cost of $15,600,000 $13,650,000 $17,550,000 $19,500,000 Goods Sold Budgeted Gross $24,400,000 $21,350,000 $27,450,000 $30,500,000 Profit Budgeted Selling $4,500,000 $4,000,000 $5,000,000 $5,500,000 and Admin Expenses Budgeted Net $19,900,000 $17,350,000 $22,450,000 $25,000,000 Operating Income Budgeted sales revenue is collected as follows: 60% of sales revenue is collected in cash The remainder of sales is on credit and is collected as follows: o During the quarter of sale, 35% o During the quarter following the sale, 60% o Uncollected, 5% Cost of Goods Sold (Manufacturing costs) consists of the following: Materials purchases represent 70% of Cost of Goods Sold. The company pays for 40% of materials during the quarter of purchase and the remainder the next quarter. The remaining 30% of Cost of Goods Sold is made up of direct labor and manufacturing overhead including $400,000 in depreciation (a non-cash expense). All of the cash payments for direct labor and overhead are paid during the quarter they are incurred. Selling and Administrative expenses are paid in the quarter after they are incurred. Required: 1. Prepare the cash receipts schedule for Quarter 3 using Microsoft Excel. Use formulas in excel to make all calculations. You can review the practice problem in this unit for an example. 2. Prepare the cash payments schedule for Quarter 3 using Microsoft Excel. Use formulas in excel to make all calculations. You can review the practice problem in this unit for an example