Onston Common Sat You we appointed as an accountant by Al Basteen Sales, to that sells garden wupplies Management is planning the cash needs for the second quarter. The company mually bouw money during this quarter to wpport peak sales of lawn cuement, which cadang May The head of department and you to prepare a cash balget for the quarter to hal you have worked with accounting and other areas together the information led below Tuled monthly baption contine come statements for April-July in Aml 5571.000 5315.000 $215.000 May 5700,000 $172.500 June 5400,000 5262300 $117500 July S30,000 5210 000 $170.000 Cod of food sold Total sell and administrative 593350 $120,000 560510 378,000 Netopeng income STO, 500 $76,60 592.000 You have thered the follow additional information 1 All sales en cet Only 10% of a moothiesals are collected in the month of sale. An adonal 704 colected in the following month, and the remaining 2016 collected in the second month following February totaled 5160,000, and Marched 940,000 2. 50 of men's toy purchase we paid for in the south of puchaw Them 50% ispred the followme Accarat Mardi 31 for chats du March 120.000 1. Each mellendung vettory mal of the cost of the mechandise to be sold in the following month. The mechandise inventory Mech 31 S12100 2. Desde of 20.000 will be declared on April Land conting $19.00 will be on for his Selling and Administravice 515.000 of depreciach 7. The con leth 1.550.000, the conceof areast 10.000 at the end of each month All home is como de berg of a now, and at the mid of the The company hasmirent which lat on the company ta borowy amount the benfesch mooth, artiste per me 1 Pep the fpecah collection for Aml May June and for the herman den for May 1. Prepares de efectuits for tundis purchases de Amo milf 4 Ples for Awed with You are appointed as an accountant by Al Busaiteen Sales, Inc. that sells garden supplies Management is planning its cash needs for the second quarter. The company mually mult borrow money during this quarter to support peak sales of lawn careequr which occur during May The head of department asked me to perpare a cash budget for the quarter. To this end, you have worked with accounting and other areas to gather the son assembled below Budgeted monthly absorption costing income statements for Apnl-July is: Sales Cost of roods sold Grossman April $550.000 $315.000 $235.000 May 5700.000 5472,500 $227.500 Jube $100.000 $262 500 5137.500 July $380,000 $210.000 $170.000 593,350 5120,000 560.540 $78,000 Total selling and administrative expenses Net operating income $141 650 S107,500 576660 592.000 You have gathered the following additional information: 1. All sales se on credit. Only 10% of a mouth wales we collected in the month of sale Animal 704 a collected in the following month and the maig 20% is collected in the second month following sale February's sales totaled S160.000, and March's sales tealed 5.240,000 2.501 of a month inwestory purchases are paid for in the month of purchase. The main 30 is paid in the follow month Accounts payable w Much I for intentory purchases during March total $120.000 Ench month's ending inventory must equal 204 of the cost of the cercandose to be sold in the following mouth The merchandise wory w Much I i 543,200 A Dividends of $20.000 will be declared and paid in April 5 Land costing 589.100 will be purchased for cash in May 6. Selling and administrative expense includes $15.000 of depreciation each month 7. The cash balance at March 31 530.000; the company must main cash balance of at least 510.000 at the end of each All bontowane done the beag of month any repayments are made at the end of the quarter The company has present with a local bank that allows the company to borrow the beginning of each methane permet Required Prepare a schedule of expected cash collections for April May and fun and for the quarter total) 2. Prepare a merchandne purchases bodies for April May, and we Prepare a schedule of expected cash but for mechandise purchases for April May and and for the new Prepare a calibraget for April May, and he well is totall