The following data relate to the operations of Shilow Company, a wholesale distributor of consumer goods: Current assets of March 31 Accounts receivable Inventory Building and equipment, net Accounts payable Con stoc Retained earnings 57.100 $ 11,400 $ 37,200 $ 12,00 $ 22,050 $150,000 $ 13,050 a. The gross margin is 25% of sales 1. Actual and budgeted sales data: March (actual Apr May June July 3.62.000 3.67,000 $ 92,000 $ 45,000 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 a 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 half is paid for in the following month. The accounts payable at March 31 are the result of March purchases of inventory Monthly expenses are as follows:commissions, 12% of sales; rent. $1900 per month other expenses (excluding depreciation), 6% of sales. Assume that these expenses are paid monthly, Depreciation is $918 per month (includes depreciation on new assets), g Equipment costing $1.100 will be purchased for cash in April I Management would like to maintain a minimum cash balance of at least $4,000 at the end of each month. The company has an agreement with a local bank that allows the company to borrow in increments of $1000 at the beginning of each month, up to a total loan balance of $20,000. The interest rate on these loans is 16 per month and for simplicity we will assume that interest is not compounded. The company would as far as it is able renay the loan plus accumulated interest at the end of the quarter. la plus accumulate est de require Required: Using the preceding data: 1. Complete the schedule of expected cash collections 2. Complete the merchandise purchases budget and the schedule of expected cash disbursements for merchandise purchases. 3. Complete the cash budget 4. Prepare an absorption costing income statement for the quarter ended June 30. 5. Prepare a balance sheet as of June 30. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required Required Required Complete the schedule of expected cash collections May Quarter Cash sales Credit Sales Total collections Schedule of Expected Cash Collections April June S 37 200 13 400 5 55.000 5 05 0 $ 0 Required 2 >