Hilyard Company, an office supplies specially store, prepares its master budget on a quarterly basis. The following data have been assembled to assist in preparing the master budget for the first quarter. a. As of December 31 (the end of the prior quarter, the company's general ledger showed the following account balances Skod 57.900 Accounts receivable Inventory Buildings and equipment (net) Accounts payable on stock Betained earnings $ 5.435 650,700 $ 650,700 b. Actual sales for December and budgeted sales for the next four months are as follows: December(actual) January February $351.000 S6,000 $589,00 57.00 $190,00 April Sales are 20% for cash and 80% on credit. All payments on credit sales are collected in the month following sale. The accounts receivable at December 31 are a result of December credit sales d. The company's gross marginis 40% of sales in other words, cost of goods sold is 60% of sales) Monthly expenses are budgeted as follows s es and wages $15.000 per month advertising, 556,000 per month shipping, 5% of sales other expenses of sales Depreciation, including depreciation on new assets acquired during the quarter will be $42.260 for the quartet Each month's ending inventory should equal 25% of the following months cost of goods sold One half of a month's inventory purchases is paid for in the month of purchase the other hair is paid in the following month h During February, the company will purchase a new copy machine for 5000 cash During March other equipment will be purchased for cash at a cost of $20500 During lancary, the company will decare and pay $45.000 in cash dividends Management wants to maintain a minimum cash balance of $30,000. The company has an agreement with a local bank that allows the company to borrow in increments of S1000 at the beginning of each month. The interest rate on these loans is per month and for simplicity we will assume that interest is not compounded. The company would, as far as it is able, repay the loan plus accumulated interest at me end of the quarter Ded Required: Using the data above, complete the following statements and schedules for the first qua 1. Schedule of expected cash collections: 2-a. Merchandise purchases budget: 2-b. Schedule of expected cash disbursements for merchandise purchases: 3. Cash budget: 4. Prepare an absorption costing income statement for the quarter ending March 31. 5. Prepare a balance sheet as of March 31. Complete this question by entering your answers in the tabs below