The Prince Albert Corporation has forecast the following sales for the first seven months of the year. January February March April $22,000 May 24,000 June 26,000 July 32,000 Monthly material purchases are set equal to 25 percent of forecasted sales for the next month. Of the total material costs, 35 percent are paid in the month of purchase and 65 percent are paid in the following month. Labour costs will run $5,200 per month, and fixed overhead is $8,000 per month. Interest payments on the debt will be $4,200 for both March and June. Finally, the Prince Albert sales people will receive a 1.5 percent commission on total sales for the first six months of the year, to be paid on June 30. Prepare a monthly summary of cash payments for the six months from January through June. (Note: Compute prior December purchases to help get total material payments for January.) Sales Purchases. Current month payment. Prior month payment. Total payment for materials Labour costs Fixed overhead Interest payments Sales commission. Total cash payments. 22,000 28,000 30,000 December $ January Prince Albert Corporation Cash Payments Schedule February March April May $ $ $ June