The budgeted April merchandise purchases include the inventory increase. All sales are on account. The company predicts that 25% of credit sales is collected in the month of the sale, 45% in the month following the sale, 20% in the second month, 9% in the third, and the remainder is uncollectible. Applying these percents to the March credit sales, for example, shows that $162,000 of the $360,000 will be collected in April, $72,000 in May, and $32,400 in June. All Merchandise is purchased on credit; 80% of the balance is paid in the month following a purchase and remaining 20% is paid in the second month. For example, of the $200,000 March purchases, $160,000 will be paid in April and $40,000 in May. Re Prepare a cash budget for April, May, and June for Harlan Stereo. Show supporting calculations as needed Write a quick explanation as to why the bank should grant the loan. (2 sentances)