Prepare a cash budget for May. Note: Cash deficiency, repayments and interest should be indicated by a minus sign. Prepare a budgetea Dalance srieet as or May 31. Prepare a budgeted income statement for May. The company is in the process of preparing a budget for May and has assembled the following data: a. Sales are budgeted at $260,000 for Moy Of these sales, $78,000 will be for cash; the remainder will be credit sales. One-half of o month's credit sales are collected in the month the sales are mode, ond the remainder is collected in the following month. All of the April 30 accounts receivable wil be collected in Moy b. Purchases of inventory are expected to total $155,000 during May These purchases wal 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 Moy c. The May 31 inventory bolance is budgeted at $59,500 d. Seling and adminlstrative expenses for Moy ore budgeted at $99,500. exclusive of depreciation. These expenses will be paid in cash. Depreciation is budgeted ot $4,550 for the month e. The note payable on the April 30 bolonce sheet will be poid duing Moy, with $460 in interest (All of the interest relates to May) f. New refrigerating equipment costing $11,000 will be purchased for cosb during May. 9. During Moy, the compony will borrow $21,500 from its bonk by giving o new note payable to the bank for that amount. The new note will be due in one year. c. The May 31 inventory balance is budgeted at $59,500. d. Selling and administrative expenses for May are budgeted at $99,500, exclusive of depreciation. These expenses will be paid in cash. Depreciation is budgeted at $4,550 for the month. e. The note payable on the April 30 balance sheet will be poid during May, with $460 in interest. (All of the interest relates to May) f. New refrigerating equipment costing $11,000 will be purchased for cash during May. g. During May, the company will borrow $21,500 from its bank by giving a new note payable to the bank for that amount. The new note will be due in one year Required: 1. Calculate the expected cosh collections from customers for May. 2. Calculate the expected cash disbursements for merchandise purchases for Moy 3. Prepare a cash budget for May 4. Prepare a budgeted income statement for May 5. Prepare a budgeted bolance sheet as of May 31 Complete this question by entering your answers in the tobs below. 1. Calculate the expected cash collections from customers for May. 2. Calculate the expected cash disbursements for merchandise purchases for Mav