The I'm Having Fun Company had sales of $100,000 in January, $130,000 in February, and $170,000 in March. Forecast sales for April, May, and June are $200,000, $150,000, and $140,000, respectively. July projected sales are $160,000. The firm has a cash balance of $10,000 on March 31 (also beginning cash for April) and wishes to maintain a minimum cash balance of $15,000. Given the following data, prepare and interpret a cash budget for the months of May, and June. (1) 60 percent of the firm's sales are for cash; 40 percent are accounts receivable collected in the next two months *(80 percent of the accounts receivable are collected in the first month following the sales, and the remaining 20 percent are collected in the second month following sales). (2) The firm receives other income of $4,000 per month. (3) The firm's actual or expected purchases are 65 percent of the next months projected sales. 70 percent of the purchases are paid during the month of purchase. The remaining 30 percent are paid one month following purchases. (4) Rent is $6,000 per month. (5) Wages and salaries are 20 percent of the previous month's sales. (6 Payment of principal and interest $5,000 is due in May. (1) A cash purchase of equipment costing $6,000 is scheduled for payment in June. The I'm Having Fun Company had sales of $100,000 in January, $130,000 in February, and $170,000 in March. Forecast sales for April, May, and June are $200,000, $150,000, and $140,000, respectively. July projected sales are $160,000. The firm has a cash balance of $10,000 on March 31 (also beginning cash for April) and wishes to maintain a minimum cash balance of $15,000. Given the following data, prepare and interpret a cash budget for the months of May, and June. (1) 60 percent of the firm's sales are for cash; 40 percent are accounts receivable collected in the next two months *(80 percent of the accounts receivable are collected in the first month following the sales, and the remaining 20 percent are collected in the second month following sales). (2) The firm receives other income of $4,000 per month. (3) The firm's actual or expected purchases are 65 percent of the next months projected sales. 70 percent of the purchases are paid during the month of purchase. The remaining 30 percent are paid one month following purchases. (4) Rent is $6,000 per month. (5) Wages and salaries are 20 percent of the previous month's sales. (6 Payment of principal and interest $5,000 is due in May. (1) A cash purchase of equipment costing $6,000 is scheduled for payment in June