Help Savet Sun 4 54 points Garden Sales, Inc. sells garden supplies. Management is planning its cash needs for the second quarter The towing Information has been assembled to assist in preparing a cash budget for the quarter a Budgeted monthly income statements for April to July are as follows: April May June Sales $500, 5820.000 cost of goods sold 1500, ce $420,00 310.00 564.000 150.000 294,00 Gross margin 1840225640150,000,000 Less Operating expenses: Selling expense 83.200 136.000 59,60 50, bo Administrative expenses 46.com 51,500 42.000 40,400 Total operating expenses 129,200 17.68 1024 91,200 Net Income $ 54,800 $80,400 47,600 sk Print Meferences includes $10,000 in depreciation each month b. Sales are 20% for cash and 80% on account. c Sales on account are collected over a three-month period in the following ratio: 10% collected in the month of se. 70% collected in the first month following the month of sale, and the remaining 20% collected in the second month following the month of sale. February's sales totaled $260,000, and March's sales totalled $340,000 d Inventory purchases are paid for within 15 days. Therefore, 50% of a month's inventory purchases are paid for in the month of purchase. The remaining 50% we paid in the following month Accounts payable at March 31 for inventory purchases during March total $112.800 o. At the end of each monthInventory must be on hand equal to 20% of the cost of the merchandise to be sold in me following month. The merchandise inventory at March 31 is $79.200 Dividends of $47,200 will be declared and paid in April 9. Equipment costing $17,800 will be purchased for cash in May. h. The cash balance at March 31 is $51600, the company must maintain a cash balance of at least $39,000 at all times. The company can borrow from its bank, as needed, to bolster the cash account Borrowings and repayments must be in multiples of $500. Interest is due only when principal is repaid and is calculated on the amount of repayment for the duration of the time money was borrowed. All borrowings take place at the beginning of a month, and a repayments are made at the end of a month. The annual interest rate is 12% Compute interest on whole months (12. 2/12, and so forth Help Savet Sun 4 54 points Garden Sales, Inc. sells garden supplies. Management is planning its cash needs for the second quarter The towing Information has been assembled to assist in preparing a cash budget for the quarter a Budgeted monthly income statements for April to July are as follows: April May June Sales $500, 5820.000 cost of goods sold 1500, ce $420,00 310.00 564.000 150.000 294,00 Gross margin 1840225640150,000,000 Less Operating expenses: Selling expense 83.200 136.000 59,60 50, bo Administrative expenses 46.com 51,500 42.000 40,400 Total operating expenses 129,200 17.68 1024 91,200 Net Income $ 54,800 $80,400 47,600 sk Print Meferences includes $10,000 in depreciation each month b. Sales are 20% for cash and 80% on account. c Sales on account are collected over a three-month period in the following ratio: 10% collected in the month of se. 70% collected in the first month following the month of sale, and the remaining 20% collected in the second month following the month of sale. February's sales totaled $260,000, and March's sales totalled $340,000 d Inventory purchases are paid for within 15 days. Therefore, 50% of a month's inventory purchases are paid for in the month of purchase. The remaining 50% we paid in the following month Accounts payable at March 31 for inventory purchases during March total $112.800 o. At the end of each monthInventory must be on hand equal to 20% of the cost of the merchandise to be sold in me following month. The merchandise inventory at March 31 is $79.200 Dividends of $47,200 will be declared and paid in April 9. Equipment costing $17,800 will be purchased for cash in May. h. The cash balance at March 31 is $51600, the company must maintain a cash balance of at least $39,000 at all times. The company can borrow from its bank, as needed, to bolster the cash account Borrowings and repayments must be in multiples of $500. Interest is due only when principal is repaid and is calculated on the amount of repayment for the duration of the time money was borrowed. All borrowings take place at the beginning of a month, and a repayments are made at the end of a month. The annual interest rate is 12% Compute interest on whole months (12. 2/12, and so forth