Problem 8-19 (Algo) Cash Budget; Income Statement; Balance Sheet [LO8-2, LO8-4, LO8-8, LO8-9, LO810] Minden Company is a wholesale distributor of premium European chocolates. The company's balance sheet as of April 30 is given below The company is in the process of preparing a budget for May and has assembled the following data a. Sales are budgeted at $254,000 for May. Of these saies, $76,200 wil be for cash, the remainder will be credit sales. One-half of a month's credit sales are collected in the month the sales are made, and the remainder is collected in the following month All of the Aprit 30 accounts recelvable wil be collected in May D. Purchases of inventory are expected to total $137,000 during May. These purchases will 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 wil be paid during May. c. The May 31 inventory balance is budgeted at $45,000 d Seling and administrative expenses for May are bucgeted at $98,400, exciusive of depreciation. These expenses will be pald in cash. Depreclation is budgeted at $5,550 for the month e. The note payable on the Apill 30 balance sheet wil be paid during May, with $350 in interest. (All of the interest relates to May) f New refngerating equipment costing $8,700 wal be purchased for casti duning May. g. During May, the company will borrow $27,400 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 cash collections from customers for May 2. Calculate the expected cash disbursements for merchandise purchases for May 3. Prepare a cash budget for May. 4. Prepare a budgeted income statement for May 5. Prepare a budgeted balance sheet as of May 31