The Bush Co. began operations in January of 20x 1. The information below pertains to the operations of Bush for the 3 months from January to March (that is, the first quarter, Q1) of 20x2. Expenses for Quarter 1 Amortization Factory overhead Income taxes Payroll Selling costs Commission: (2% of sales) Administrative costs $40,000 10,000 15.000 30,000 8,000 10,000 Costs are assumed to be incurred evenly throughout the year with the exception of the following: Amortization is taken on new assets starting in the quarter subsequent to the quarter purchased. Income taxes are payable in half-yearly instalments, on the first day of each 6-month period, based on last year's actual of $30,000. Other information: 1. Sales Sales (made evenly throughout the quarter) (actual) 01 $400,000 (forecast) 400,000 (forecast) 800,000 02 Collections from sales are as follows: 50% in the quarter of sale; 45% in the quarter following: 5% uncollectible. Purchases (made evenly throughout the quarter) (actual) Q1 $200,000 Q2 Note The gross margin ratio is constant at 60%. Cash payments for purchases are as follows: 50% in the quarter of purchase; 50% in the quarter thereafter. Merchandise purchased during a quarter would include 25% of the next quarter's forecasted sales. Other The company purchased capital equipment in the amount of $100,000 in February 20x1. The estimated useful life of this equipment is 10 years, estimated scrap value is SO. Dividends of S20,000 are declared on the last day of each quarter, to be paid at the end of the next month. Cash in the bank at the end of Q1 equals $25,000. Required Prepare a Cash Budget for Q2 of 20x2. Show all your supporting calculations