Review the following data.

May June July

Budgeted sales $420,000430,000410,000$

Accounts receivable, beginning balance $$77,000$

Sales collected in the month sales are made $60\%$

Sales collected in the month after sales are made $40\%$

Desired ending finished goods inventory as a percentage of next month's sales $40\%$

Cost of goods sold as a percentage of sales $70\%$

Beginning inventory $117,600$

Accounts payable beginning balance $$264,000$

Prepare a Schedule of Expected Cash Collections for May and June and a Merchandise Purchases Budget for May and June.

You should insert a table to organize your information. Show your calculations.