Intersession 6: Problems Help Problem 8-29 Completing a Master Budget [LO8-2, LO8-4, LO8-7, Lo8-8, LO8-9, LO8-10] The following data relate to the operations of Shilow Company, a wholesale distributor of consumer goods: 12.5 points Current assets as of March 31: Cash $ 9,000 26,000 $ 48,600 s 109,200 $ 29,175 s 150,000 $ 13,625 Accounts receivable Inventory Building and equipment, net Accounts payable Common stock Retained earnings eBook Print References a The gross margin is 25% of sales. b. Actual and budgeted sales data: March (actual) April May June July $ 65,000 $ 81,000 $ 86,000 s 111,000 $ 62,000 C. Sales are 60% for cash and 40% on credit. Credit sales are collected in the month following sale The accounts receivable at March 31 are a result of March credit sales. d. Each month's ending inventory should equal 80% of the following month's budgeted cost of goods sold. e. One-half of a month's inventory purchases is paid for in the month of purchase; the other half is paid for in the following month. The accounts payable at March 31 are the result of March purchases of inventory. f. Monthly expenses are as follows: commissions, 12% of sales; rent, $3,800 per month, other expenses (excluding depreciation), 6% Mc Prev 1 of 2 Score answer>