Minden Company is a wholesale distributor of premium European chocolates. The company's balance sheet as ot April 30 is given below: Minden Company Balance Sheet April 30 Assets Cash Accounts receivable Inventory Buildings and equipment, net of depreciation Total assets Liabilities and Stockholders' Equity Accounts payable Note payable Common stock Retained earnings Total liabilities and stockholders' equity s 18,000 76,000 32,500 243000 369,500 80,250 13,200 180,000 96,050 369,500 The company is In the process of preparing a budget tor May and has assembled the following data a. Sales are budgeted at S238,OOO tor May. Of these sales, S71 ,400 will be tor cash; the remainder will be credit sales. One-halt ot a month's credit sales are collected in the month the sales are made, and the remainder is collected in the following montm All of the April 30 accounts receivable will be collected in b. Purchases ot inventory are expected to total S124,OOO during May These purchases will all be on account Folly percent of all purchases are paid tor in the month ot purchase; the remainder are paid in the following month All ot the April 30 accounts payable to suppliers will be paid during May. c The May 31 inventory balance is budgeted at 324.000. d. Selling and administrative expenses for May are budgeted at S86,100, exclusive of depreciation These expenses will be paid in cash. Depreciation is budgeted at $4,450 tor the month. e. The note payable on the April 30 balance sheet will be paid during May, witn $400 in interest (All ot the interest relates to May.) t. New refrigerating equipment costing S15, 100 will be purchased for cash during May g. During May, the company will borrow $23,800 trom its Dank by giving a new note payable to the bank for that amount The new note will be due in one year