Requirements 1. Prepare Paperclip's sales budget for April and May 2018. Round all calculations to the nearest dollar. 2. Prepare Paperclip's inventory, purchases, and cost of goods sold budget for April and May. 3. Prepare Paperclip's selling and administrative expense budget for April and May. berclip Office Supply's March 31,2018 , balance The budget committee of Paperclip et follows: (Click the icon to view the balance sheet.) : Supply has assembled the following More info a. Sales in April are expected to be $100,000. Paperclip 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. b. Paperclip maintains inventory of $13,000 plus 25% of the cost of goods sold budgeted for the following month. Cost of goods sold equal 50% of sales revenue. c. Monthly salaries amount to $3,000. Sales commissions equal 5% of sales for that month. d. Other monthly expenses are as follows: - Rent: $2,400 - Depreciation: $400 - Insurance: $200 More info 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. b. Paperclip maintains inventory of $13,000 plus 25% of the cost of goods sold budgeted for the following month. Cost of goods sold equal 50% of sales revenue. c. Monthly salaries amount to $3,000. Sales commissions equal 5% of sales for that month. d. Other monthly expenses are as follows: - Rent: $2,400 - Depreciation: $400 - Insurance: $200 - Income tax: $2,300 Data table Merchandise Inventory Prepaid Insurance Total Current Assets 1,50025,500 $7,000 Property, Plant, and Equipment: \begin{tabular}{lrr|} \hline \multicolumn{1}{|c}{ Equipment and Fixtures } & 55,000 \\ \hline \multicolumn{1}{|c|}{ Less: Accumulated Depreciation } & (18,000) & 37,000 \\ \hline Total Assets & & $114,000 \\ \hline \hline \end{tabular} Liabilities Current Liabilities: Total budgeted sales $\begin{tabular}{ll} $120,000 & $122.400 \\ \hline \hline \end{tabular} Requirement 2. Prepare Fountain's inventory, purchases, and cost of goods sold budget for April and May. Fountain Supply Company Inventory, Purchases, and Cost of Goods Sold Budget April and May, 2018 \begin{tabular}{l} April and May, 2018 \\ \hline \hline Cost of goods sold \\ Plus: Desired ending merchandise inventory \\ Total merchandise inventory required \\ Less: Beginning merchandise inventory \\ Budgeted Purchases \end{tabular} Requirement 3. Prepare Fountain's selling and administrative expense budget for April and May. Fountain Office Supply Requirement 3. Prepare Fountain's selling and administrative expense budget for April and May