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a, Soles are budgeted at $292,000 for May, Or these sales, $87,600 will be for cash, the remainder will be credit sales. One-half of a monsh's credit sales are collected in the month the sales are mado, and the remainder is collected in the following month. All of the April 30 accounts recelvable will be collocted in May. b. Purchases of imventory are expected to total \$216,000 during May. These purchases will all be on account. Forty percent of all purchases are paid for in the month of purchase; the femainder are paid in the following month. All of the April 30 accounts payable to suppliers will be paid during May. c. The May 31 inventory balance is budgeted ot $72,500. d. Selling and admiristrative expenses for May are budpeted at $82,200, cxiclusive of depreciation. These expenses will be paid in cash. Depreclation is budgeted at $4,500 for the month. e. The note payable on the April 30 balance sheet will be pad during May, with $375 in interest. (All of the interest relates to May) t. New refrigerating equipment costing $7.100 will be purchased for cash during May. 9. During May, the company will borrow $20,500 from its bank by giving a new note payble to the bank for that amount. The new note will be due in one year Required: 1 Calculate the expected cash collections from customers for May. 2. Colculate the expected cash disbursements for merchandise purchases for May 3. Prepare a cash budget for May 4. Prepare a budgeted income statement for May. 5. Prepare a budpeted balance sheet as of May 31 Cemplete this question by entering your answers in the tabs below. 1. Calculate the expected cash cellections from customers for May. 2 Calculate the expected cash disbursements for mercharsise purchases for May