Question 2: BUDGETING The rm has found 'om past experience that demand for cricket bats is highly variable throughout the year, malcing budgeting a difcult process. Inparticular, the rm has found in previous years that sales sometimes increase sharply in April each year and then decrease again in October. Your client has provided you with the following sales gures for the last three months (October g December 2022) as well as sales forecasts for each of the next 12 months. (Note: These sales gures are expressed as the number ofthousands ofUNITS sold they are not dollar gures. For example, the firm sold 140,000 cricket bats in October 2022.) 140 140 140 140 You have also been provided with the following information: The cricket bats sell for $19 each. This price is not expected to change during 2023. All values given to you in the rest of this part of the assignment will be in thousands of dollars. All answers that you give inthe budgets should be expressed in terms of the number of thousands ofdollars, ratherthan the number ofdollars. For example, in October 2022, the rm sold 140,000 units at a price of $19 each, resulting in total sales of $2,660,000, but you shouldjust enter 2660 (the number of thousands of dollars) in the cash budget. All sales are on credit. 20% of sales are collected the month after the sale, 20% are collected in the second month after the sale, and the remaining 10% are collected in the third month aer the sale. Cost of sales each month (the value of inventory used in production) is always 60% of sales. The value of inventory at the end of December 2022 was $200. (Remember, that's the number of thousands of dollars. All dollar values will be given this way from now on.) The rm intends to keep inventory at this level throughout January and February, increase the inventory by 10% by the end of March in anticipation of increased sales in April, and then decrease inventory again to $200 by the end of September in anticipation of decreased sales in October. Purchases inNovember 2022 totalled $1596 and purchases inDecember 2022 totalled $1596. All purchases are on credit 50% of purchases are paid for in the month following the month of purchase, and the remaining 50% are paid for two months after the month of purchase- Operating costs (other than purchases of raw 1:I:Ia'terials= wages and depreciation) are budgeted to be $400 per month. Wages (again, shown in thousands of dollars) are budgeted to be as follows for each ofnext 12 months. The opening cash balance at the beginning of January is $T0. Your task: 1. Prepare the lm's memory budget for 2023 2. Calculate total cash receiwd from customers in 2023 3. Prepare the lm's accounts payable budget for 2023