Oxygen World is a retail store selling home oxygen equipment. Oxygen World also services home oxygen equipment. for which the company bills customers monthly. Oxygen World has budgeted for increases in service revenue of $300 each month due to a recent advertising campaign. The forecast of sales and service revenue for March-June 2021 is as follows: E8 (Click the icon to view the forecast of sales and service revenue.) (i) (Click the icon to view the collection information.) Read the requirements. Requirement 1. Calculate the cash that Oxygen World expects to collect in May and in June 2021. Show calculations for each month. Start by showing the cash collections of sales revenue, then complete the schedule by entering in the service revenue collections and the total cash collections for each month. (Complete all input fields. If there were no collections of revenue for a certain month, select " 0% " in the "Collection % " column and enter a "0" in the appropriate May or June column.) Data table Sales and Service Revenues Budget March-June 2021 Almost all of the sales revenues of the oxygen equipment are credit card sales; cash sales are negligible. The credit card company deposits 97% of the revenues recorded each day into Oxygen World's account overnight. For the servicing of home oxygen equipment, 60% of oxygen services billed each month is collected in the month of the service, and 40% is collected in the month following the service. Requirements 1. Calculate the cash that Oxygen World expects to collect in April, May and June 2021 from sales and service revenue. Show calculations for each month. 2. Oxygen World has budgeted expenditures for May of $13,800 and requires a minimum cash balance of $300 at the end of each month. It has a cash balance on May 1 of $650. a. Given your answer to requirement 1 , will Oxygen World need to borrow cash to cover its payments for May and maintain a minimum cash balance of $300 at the end of May? b. Assume (independently for each situation) that (1) May total revenues might be 10% lower or that (2) total costs might be 5% higher. Under each of those two scenarios, show the total net cash for May and the amount Oxygen World would have to borrow to cover its cash payments for May and maintain a minimum cash balance of $300 at the end of May. (Again, assume a balance of $650 on May 1.) 3. Why do Oxygen World's managers prepare a cash budget in addition to the revenue, expenses, and operating income budget? Has preparing the cash budget been helpful? Explain briefly