The following data relate to the operations of Shilow Company, a wholesale distributor of consumer goods: Current assets as of March 31: Cash Accounts receivable Inventory Buildings and equipment, net Accounts payable Common shares Retained earnings $ 8,000 20,000 36,000 120,000 21,750 150,000 12,250 a. The gross margin is 25% of sales. b. Actual and budgeted sales data are as follows: March (actual) April May June July $50,000 $60,000 $72,000 $90,000 $48,000 C. Sales are 60% for cash and 40% 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 80% of the following month's budgeted cost of goods sold. e. One-half of a month's inventory purchases is paid for in the month of purchase; the other one-half is paid for in the following month. The accounts payable at March 31 are the result of March purchases of inventory. f. Monthly expenses are as follows: commissions, 12% of sales; rent, $2,500; other expenses (excluding depreciation), 6% of sales. Assume that these expenses are paid monthly. Depreciation is $900 per month and includes depreciation on new assets. g. Equipment will be acquired for cash: $1,500 in April. h. Management would like to maintain a minimum cash balance of $4,000 at the end of each month. The company has an agreement - E. !!!-r 1 V v h. Management would like to maintain a minimum cash balance of $4,000 at the end of each month. The company has an ag with a local bank that allows the company to borrow as needed at the beginning of each month, up to a total loan balance $20,000. The interest rate on these loans is 1% per month and for simplicity we will assume that interest is not compounde company would, as far as it is able, repay the loan plus accumulated interest at the end of the quarter. Required: Using the preceding data, complete the following: Shilow Company Balance Sheet June 30 Assets Current assets Total current assets 0 Total assets $ 0 Liabilities and Stockholders' Equity Stockholders' equity 0 Total liabilities and stockholders' equity $ 0