Problem 22-04A a-b (Video) (Part Level Submission) Crane Company prepares monthly cash budgets. Relevant data from operating budgets for 2020 are as follows February January $367,200 122,400 91,800 71,400 80,580 $408,000 127,500 102,000 76,500 86,700 Sales Direct materials purchases Direct labor Manufacturing overhead Selling and administrative expenses All sales are on account. Collections are expected to be 50% in the month of sale, 30% in the first month following the sale, and 20% in the second month following the sale. Sixty percent (60%) of direct materials purchases are paid in cash in the month of purchase, and the balance due is paid in the month following the purchase. All other items above are paid in the month incurred except for selling and administrative expenses that include $1,020 of depreciation per month Other data Credit sales: November 2019, $255,000; December 2019, $326,400 Purchases of direct materials: December 2019, $102,000 1. 2. 3. Other receipts: January-Collection of December 31, 2019, notes receivable $15,300; 4. Other disbursements: February-Payment of $6,120 cash dividend The company's cash balance on January 1, 2020, is expected to be $61,200. The company wants to maintain a minimum cash balance of $51,000 February-Proceeds from sale of securities $6,120 Prepare schedules for (1) expected collections from customers and (2) expected payments for direct materials purchases for January and February Expected Collections from Customers February January November 51000 0 December 97920 65280 January 183600 110160 February 0 204000 332520 Total collections 379440 Expected Payments for Direct Materials February January December 40800 January 48960 73440 February 76500 Total payments 114240 125460 Click if you would like to Show Work for this question: Open Show Work CRANE COMPANY Cash Budget February January