O:30 Minden Company is a wholesale distributor of premium European chocolates. The company's balance sheet as of April 30 is given below: Assets Cash Minden Company Balance Sheet April 30 Accounts receivable Inventory Buildings and equipment, net of depreciation Total assets Liabilities and Stockholders' Equity Accounts payable $ 9,500 56,500 53,250 234,000 $ 353,250 $ 79,000 20,000 180,000 74,250 $ 353,250 Note payable Common stock Retained earnings Total liabilities and stockholders' equity The company is in the process of preparing a budget for May and has assembled the following data: a. Sales are budgeted at $299,000 for May. Of these sales, $89,700 will be for cash; the remainder will be credit sales. One-half of a month's credit sales are collected in the month the sales are made, and the remainder is collected in the following month. All of the April 30 accounts receivable will be collected in May. b. Purchases of inventory are expected to total $169,000 during May. These purchases will all be on account. Forty percent of all purchases are paid for in the month of purchase; the remainder 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 at $42,000. d. Selling and administrative expenses for May are budgeted at $89,700, exclusive of depreciation. These expenses will be paid in cash. Depreciation is budgeted at $2,250 for the month. e. The note payable on the April 30 balance sheet will be paid during May, with $320 in interest. (All of the interest relates to May.) f. New refrigerating equipment costing $7,200 will be purchased for cash during May. g. During May, the company will borrow $25,200 from its bank by giving a new note payable to the bank for that amount. The new

Minden Compary is a wholesale distributor of premium European chocolates. The company's balance sheet as of April 30 is given below: The company is in the process of preparing a budget for May and has assembled the following data: a. Soles are budgeted at $299,000 for May. Of these sales, $89,700 will be for cask the remainder will be credit sales. One-half of a month's credit sales are collected in the month the sales are made, and the remainder is collected in the following month. All of the April 30 accounts recelvable wit be collected in May. b. Purchases of inventory are expected to total $169,000 during May. These purchases will all be on occount. Forty percent of all purchases are paid for in the month of purchase, the remainder are paid in the following month. All of the Apris 30 accounts payable to suppliers will be paid during May. c. The Moy 31 inventory batance is budgeted at $42,000 d. Seling and administrative expenses for May ore budgeted at $89,700, exclusive of depreciation. These expenses wit be paid in cash. Depreciation is budgeted at $2,250 for the month. e. The note poyable on the April 30 balance sheet wir be paid during Moy, with $320 in interest. (All of the interest relates to May.) i New refriperating equipment costing \$7,200 will be purchosed for cash during May a During May, the company will borrow $25,200 from its bank by giving a new note payable to the bank for that amount. The new