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 Building and equipment, net Accounts payable Capital stock 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 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 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