P9-61A (similar to) Question Help rk. Scott'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: i (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. Prepa More Info X Requireme als for January an a. Sales are 60% cash and 40% credit. Credit sales are collected 10% in the month of sale and the remainder in the month after sale. Actual sales in December were $55,000. Schedules of budgeted sales for the two months of the upcoming year are as follows: Budgeted Sales Credit: 0 Revenue January . .. $ 60,000 P9-6 > Cash sales February . . . . . . . . $ 67,000 Collection b. Actual purchases of direct materials in December were $23,000. The company's purchases of direct materials in January are budgeted to be $22,500 and $26,500 in February. All purchases are paid Total cash 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 $10,000 in December. Budgeted salaries in January are $11,000 and February budgeted salaries are $12,500. Sales commissions each month are 8% of that month's sales. Rent expense is $3,000 per month. Enter any n e. Depreciation is $2,500 per month. ? f. Estimated income tax payments are made at the end of January. The estimated tax payment is projected to be $11,500. 9 parts remaini The cash balance at the end of the prior year was $25,000