Include the following information from your CONNECT problem relating to Garden Sales, Inc. Ju May June Sales Cost of Goods sold Gross Margin Selling expenses Administrative expenses Net Operating Income Prior Months' Sales March 31 Balances February March Accounts Payable Inventory Land purchased Dividends to be paid Beginning Cash The company's president is interested in knowing how reducing inventory levels and collecting accounts receivable sooner will impact the cash budget. He revises the cash collection and ending inventory assumptions as follow: Sales continue to be 20% for cash and 80% on credit. However, credit sales from April, May, and June are collected over a three-month period with 25% collected in the month of sale, 65% collected in the month following sale, and 10% in the second month following sale. Credit sales from February and March are collected during the second quarter using the collection percentages specified in CONNECT problem. The company maintains tsending inventory levels for April, May, and June at l5% ofthe cost of merchandise to be sold in the following month. The merchandise inventory and ac March 31 remains unchanged from the amount given in your CONNECT problem. counts payable at .Pete, the production manager confides to the pre uction manager confides to the president that estimating ending inventories in the budget is sometimes difficult. He explains that Michelle, the sale manager, sometimes makes budget is sometimes difficult. He explains tha adjustments to the sales numbers before passing them on. Michelle admits that she doesn't want the company to fall short of its sales projections so she When questioned by the president, generally gives a little bit of 5% to 10% "breathing room" by lowering the initial sales projection anywbere from Required: Use the Worksheets provided below 1) Using the president's new assumptions in (1) above, complete the schedule of expected cash collections for April, May and June and for the quarter total. 2) Using the president's new assumptions in (2) above, complete the following for merchandise nventory: a) Anstchandise purchases budget for April, May and June use worksheet below b) A schedule of expected cash disbursements for merchandise purchased for April, May and June and for the quarter total Using the president's new assumptions in (1) and (2). complete the cash budget for April, May, and June and the quarter total use worksheet below 3) use worksheet below