Nolan's Restaurant Supply is preparing its cash budgets for the first two months of the upcoming year. Here is the information about the company's upcoming cash receipts and cash disbursements: (Click the icon to view the information.) Requirements 1. Prepare schedules of (a) budgeted cash collections, (b) budgeted cash payments for purchases, and (c) budgeted cash payments for operating expenses. Show totals for each month and totals for January and February combined. 2. Prepare a combined cash budget. If no financing activity takes place, what is the budgeted cash balance on February 28? Requirement 1a. Prepare a schedule of budgeted cash collections for January and February. Show totals for each month and totals for January and February combined. More Info - X Nolan's Restaurant Supply Cash Collections Budget For the Months Ended January 31 and February 28 January Cash sales Collection on credit sales Total cash collections a. Sales are 65% cash and 35% credit. Credit sales are collected 10% in the month of sale and the remainder in the month after sale. Actual sales in December were $57,000. Schedules of budgeted sales for the two months of the upcoming year are as follows: Budgeted Sales Revenue January.. 60,000 February ..............$ 70,000 b. Actual purchases of direct materials in December were $24,000. The company's purchases of direct materials in January are budgeted to be $23,500 and $25,000 in February. All purchases are paid 40% in the month of purchase and 60% the following month. C. Salaries and sales commissions are also paid half in the month earned and half the next month Actual salaries were $9,500 in December. Budgeted salaries in January are $10,500 and February budgeted salaries are $12,000. Sales commissions each month are 8% of that month's sales. d. Rent expense is $3,500 per month. e. Depreciation is $2,800 per month. f. Estimated income tax payments are made at the end of January. The estimated tax payment is projected to be $11,500 g. The cash balance at the end of the prior year was $22,000