The sales department of Donovan Manufacturing, Inc., has completed the following sales forecast for the months of January through March $20$X$1$ for its only two products: $50,000$ units of J to be sold at $$90$ each and $30,000$ units of K to be sold at $$70$ each. The desired unit inventories at March $31,20$X$1,$ are $10\%$ of the next quarter$$s unit sales forecast, which are $60,000$ units of J and $30,000$ units of K$.$ The January $1,20$X$1,$ unit inventories were $5,000$ units of J and $2,000$ units of K$.$

Each unit of J requires $3$ pounds of material A and $2$ pounds of material B for its manufacture; K requires $2$ pounds of A and $4$ pounds of B$.$ The purchase cost of A is $$9$ per pound and the purchase cost of B is $$5$ per pound. Materials A and B on hand at January $1,20$X$1,$ were $19,000$ pounds of A and $7,000$ pounds of B$.$ Desired inventories at March $31,20$X$1,$ are $14,000$ pounds of A and $8,000$ pounds of B$.$

Each unit of J requires $0\mathrm{.}5$ hours of direct labor in the factory; each unit of K requires $1\mathrm{.}0$ hour of direct labor. The average hourly rate for direct labor is $$12$ per hour. Estimated manufacturing overhead cost is $$6$ per direct labor hour plus $$90,000$ per month. Selling and administrative expenses are estimated to be $10\%$ of sales revenue plus $$180,000$ per month.

Cash sales for the first quarter are estimated to be $$300,000$ per month. It is forecast that $30\%$ of the credit sales for the quarter ended March $31,20$X$1,$ will occur in January, $30\%$ in February, and $40\%$ in March. Of credit sales $($December through March$),40\%$ will be collected as cash in the month of sale and $55\%$ will be collected in the following month. The remainder will be uncollectible. Cash collected in January $20$X$1$ from December $20$X$0$ sales will be $$1,050,000.$

The January $1,20$X$1,$ cash balance was $$70,000.$ The minimum acceptable cash balance at the end of each month is $$60,000.$ Short$-$term borrowings $(6-$month term$)$ are made in multiples of $$10,000.$ Interest is charged at the rate of $1\%$ per month on short$-$term borrowings. The first interest payment is made the month following the borrowing.

Cash disbursements $($excluding interest on short$-$term borrowings$)$ are estimated as follows:

January February March

Manufacturing costs $....................$ $$1,500,000$ $$1,300,000$ $$1,400,000$

Selling and administrative expenses $390,000410,000400,000$

Interest expense $.......................90,00090,00090,000$

Income tax payment $....................00210,000$

Capital expenditures $....................124,000110,00050,000$

Cash dividends $........................300,00000$ PREPARE THESE IN EXCEL AND SUBMIT YOUR EXCEL WORKSHEET e$.$ Prepare the manufacturing overhead budget for the quarter ended March $31,20$X$1.$

f $.$ Prepare the selling and administrative expense budget for the quarter ended March $31,20$X$1.$ g$.$ Prepare a schedule of cash collected from customers for the quarter ended March $31,20$X$1.$ h$.$ Prepare the cash budget for the quarter ended March $31,20$X$1.$