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

Current assets as of March 31:
Cash	$	18,000
Accounts receivable	$	34,500
Inventory	$	17,220
Buildings and equipment (net)	$	330,000
Accounts payable	$	55,500
Capital stock	$	59,000
Retained earnings	$	285,220

a.	Gross margin is 30% of sales.
b.	Actual and budgeted sales data:

March (actual)	$ 115,000
April	$ 123,000
May	$ 152,000
June	$ 168,000
July	$ 67,000

c.	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.
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.
f.	Monthly expenses are as follows: salaries and wages, $31,500; rent, $5,500 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).
g.	Equipment costing $9,000 will be purchased for cash in April.
h.	The company must maintain a minimum cash balance of $9,000. 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: 4. Complete the following cash budget: (Cash deficiency, repayments and interest should be indicated by a minus sign) Dillinger Company Schedule of Expected Cash Collections April May June Quarter - Total Cash sales Credit sales $ Total collections 05 0 $ 0 0 $ Dillinger Company Cash budget April May 18.000 120.600 June Quarter - Total Cash balance beginning Add cash collections $ 6. Prepare a balance sheet as of June 30. 2. Complete the following: Dillinger Company Cash budget April May 18,000 120,600 June Dillinger Company Balance Sheet June 30 Quarter - Total $ $ June Quarter - Total Assets 138,600 0 0 0 Budgeted cost of goods sold Dillinger Company Merchandise Purchases Budget April May $ 86.1001 21.280 107380 0 17.220 1 $ 90.160S OS Current assets: Total needs 0 78,040 46,840 9,000 133,880 4.720 Required purchases Cash balance, beginning Add cash collections Total cash available Less cash disbursements For inventory For expenses For equipment Total cash disbursements Excess (deficiency) of cash Financing Borrowings Repayments Interest Total financing Cash balance, ending 0$ ol 0 0 0 0 0 0 0 5. Prepare an absorption costing income statement for the quarter ended June 30. Total current assets 0 Dillinger Company Income Statement For the Quarter Ended June 30 $ 0 0 0 Total assets Liabilities and Stockholders' Equity Current liabilities: 0 4.720 $ 0 0 $ $ 0 $ Cost of goods sold: Stockholders' equity 3. Complete the following schedule: 0 0 Total liabilities and equity 0 0 0 $ 0 Selling and administrative expenses Dillinger Company Schedule of Expected Cash Disbursements-Selling and Administrative Expense April May June Quarter - To Salaries and wages $ 31,500 Rent 5,500 Other expenses 9,840 Total disbursements $ 46,840 $ 0$ 0 $ 0 0 $ 0