The following data relate to the operations of Dillinger Company, a wholesale distributor of consumer goods:

Current assets as of March 31 $ 22,000 $ 25,500 $12,460 $240,000 $ 46,500 $50,000 $203,460 Cash Accounts receivable Inventory Buildings and equipment (net) Accounts payable Capital stock Retained earnings a. Gross margin is 30% of sales. b. Actual and budgeted sales data 85,000 S 89,000 S 113,000 S 122,000 55,000 March (actual) April June July Sales are 70% for cash and 30% on credit. Credit sales are collected in the month following sale. The accounts receivable at March 31 are the result of March credit sales C. d Each month's ending inventory should equal 20% of the following month's budgeted cost of goods sold e, 25% of a month's inventory purchases is paid for in the month of purchase; the remainder is paid for in the following month. The accounts payable at March 31 are a result of March purchases of inventory Monthly expenses are as follows: salaries and wages, $22,500; rent, $4,600 per month; other expenses (excluding depreciation), 8% of sales Assume that these expenses are paid monthly Depreciation is $6,000 per month (includes depreciation on new assets) f. g. Equipment costing $11,000 will be purchased for cash in April h. The company must maintain a minimum cash balance of $5,000. An open line of credit is available at a local bank. All borrowing is done at the beginning of a month, and all repayments are made at the end of a month. borrowing must be in multiples of $1,000. The annual interest rate is 12%. Interest is paid only at the time of repayment of principal; figure interest on whole months (1/12, 2/12, and so forth) Required Using the above data: 1. Complete the following schedule Dillinger Company Schedule of Expected Cash Collections April June Quarter - Total Cash sales Credit sales Total collections 2. Complete the following: Dillinger Company Merchandise Purchases Budget pri Ma June Quarter - Total S62,300 15,820 78,120 12,460 $ 65,660 Budgeted cost of goods sold Total needs Required purchases