The budget committee of Sheridan Company collects the following data for its San Miguel Store in preparing budgeted income statements for May and June 2022 1. 2 Sales for May are expected to be $736,000. Sales in June and July are expected to be 5% higher than the preceding month. Cost of goods sold is expected to be 75% of sales Company policy is to maintain ending merchandise inventory at 10% of the following month's cost of goods sold. Operating expenses are estimated to be as follows: 3 4. Sales salaries $32,200 per month Advertising Delivery expense Sales commissions Rent expense Depreciation 6 % of monthly sales 2% of monthly sales 5 % of monthly sales $4,600 per month $760 per month Utilities $540 per month Insurance 5460 per month 5. Interest expense is $2,000 per month. Income taxes are estimated to be 20% of income before income taxes (a) Prepare the merchandise purchases budget for each month in columnar form, SHERIDAN COMPANY San Miguel Store Merchandise Purchases Budget May June $ Prepare budgeted multiple-stepliecome statements for each month in columnar form. Show is the statements the details of cost of goodsalt SUPPAR COMPANY San Miguel Store Budgeted Income Statement Mar June