The following data relate to the operations of Shilow Company, a wholesale distributor of consumer goods: Current assets as of March 31 8,400 23,600 45,000 123,600 26,925 150,000 23.675 Accounts receivable Baiiding and eqaipeent, net Accounts payable Retained earnings a. The gross margin is 25% of sales. b. Actual and budgeted sales data: Mareh (actusl) Aprii t 75,000 90.000 105,000 t 54,000 c Sales are 60% for cash and 40% on cred, Credit sales are colected in the moth following sale. The accounts receivable at March 31 are a resuilt of March credit sales d. Coch month's ending inventory should equal 80% of the following moth's budgeted cost of goods sold One-haif of a month's inventory purchases is paid for in the month of purchase; the other half 's paid for in the following month. The accounts payable at March 31 are the resuit of March purchases of inventory t Monthly expenses ore as folows: commissions, t2% of sales rent, S3.200 per moner oener expenses ecuding depreciation. 6% of sales. Assume that these expenses are paid monthly. Depreciation is $927 per month includes depreciotion on new assetsi o Equipment costing $2.400 will be purchased for cash in Apri h. Management would lke 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 $t,000 at the beginning of each month, up to a MacBook Air 3 5