Requirement 1. Prepare Thumbtack's sales budget for April and May 2018. Round all amounts to the nearest dollar. Thumbtack Office Supply Sales Budget April and May, 2018 April May Total budgeted sales Requirement 2. Prepare Thumbtack's inventory, purchases, and cost of goods sold budget for April and May. Thumbtack Supply Company Inventory, Purchases, and Cost of Goods Sold Budget April and May, 2018 April May Cost of goods sold Plus: Desired ending merchandise inventory Total merchandise inventory required Less: Beginning merchandise inventory Budgeted Purchases Requirement 3. Prepare Thumbtack's selling and administrative expense budget for April and May. Thumbtack Office Supply Selling and Administrative Expense Budget April and May, 2018 April May Variable expenses: Commissions Expense Fixed expenses: Salaries Expense Rent Expense Depreciation Expense Insurance Expense Total fixed expenses Thumbtack Office Supply Balance Sheet March 31, 2018 Assets Current Assets: Cash $ 23,000 Accounts Receivable 21,000 Merchandise Inventory 34,500 2,500 Prepaid Insurance Total Current Assets 81,000 Property, Plant, and Equipment: Equipment and Fixtures 35,000 (14,000) Less: Accumulated Depreciation 21,000 $ 102,000 Total Assets Liabilities Current Liabilities: Accounts Payable $ 20,000 a. b. c. Sales in April are expected to be $220,000. Thumbtack forecasts that monthly sales will increase 2% over April sales in May. June's sales will increase by 4% over April sales. July sales will increase 20% over April sales. Thumbtack maintains inventory of $7,000 plus 25% of the cost of goods sold budgeted for the following month. Cost of goods sold equal 50% of sales revenue. Monthly salaries amount to $10,000. Sales commissions equal 5% of sales for that month. Other monthly expenses are as follows: Rent: $3,200 Depreciation: $800 Insurance: $200 Income tax: $2,300 d