The following dots relate to the operations of Shilow Company, o wholesale distributor of consumer goods:

current assets as of Mareh $11$:

cash

Accounts recetvable

$1$ ricntony

suilding and equipment, net

Accounts payable

Comion stock

Retained earning:

b$.$ The gross morgin is $25\%$ of sales.

b$.$ Actual and budgeted soles cato:

$ $50,000$

$ $50,000$

$ $72,000$

$548,000$

C$.$ Sales are $60\%$ for cosh ond $40\%$ on credit. Credit soles are collected in the month following sale. The occounts receivable at March $31$ are e result of Morch 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 o month's inventory purchoses is poid for in the month of purchose; the other half is poid for in the following month. The occounts payable ot March $31$ ore the result of March purchoses of inventory.

f$.$ Monthly expenses ore as follows: commissions, $12\%$ of soles; rent, $$2,500$ per month; other expenses $($excluding depreciation$),6\%$ of soles. Assume these expenses ore poid monthly. Depreciotion is $$900$ per month $($includes depreciotion on new ossets$).$

$9.$ Equipment costing $$1,500$ will be purchosed for cosh in April.

h$.$ Manegement would like to maintain a minimum cash balance of ot least $$4,000$ ot the end of each month. The company has an agreement with a local bonk allowing it to borrow in increments of $$1,000$ ot the beginning of each month, up to a total loen balance of $$20,000.$ The interest rate on these loons is $19$ per month and for simplicity. we will assume interest is not compounded. The company would, os for as it is oble, repay the loen plus occumulated interest ot the end of the quarter.

Required:

Using the preceding doto:

Complete the schedule of expected cosh collections.

Complete the merchandise purchoses budget and the schedule of expected cosh disbursements for merchandise purchases.

Complete the cosh budget.

Prepare an absorption costing income statement for the quorter ended June $30.$

Prepare a bolonce sheet os of June $30.$

Complete this question by entering your answers in the tabs below.

Required $2$

Required $3$

Requined $4$

Required $5$

Complete the schedule of expected cash collections.

$\backslash$table$[[$Schedule of Expected Cash Colliections$],[,,$prili,May,June,Quarter$],[$Cash sales,$s,36,000,,,],[$Credit sales,,$20,000,,,],[$Tplal collecticns,$s,56,000,,,]]$