Thumbtacks March 31, 2012, budgeted balance sheet follows:

The budget committee of Thumbtack Office Supply has assembled the following data. a. Sales in April were $40,000. You forecast that monthly sales will increase 2% over Aprils sales in May. Junes sales will increase 4% over Aprils sales. Julys sales will increase 20% over Aprils sales. b. Collections are 80% in the month of sale and 20% in the month following sale. Thumbtack maintains inventory of $11,000 plus 25% of the COGS budgeted for the following month. COGS = 50% of sales revenue. Purchases are paid 30% in the month of purchase and 70% in the month following the purchase. c. Monthly salaries amount to $7,000. Sales commissions equal 5% of sales for that month. Salaries and commissions are paid 30% in the month incurred and 70% in the following month. d. Other monthly expenses are as follows:

Requirements 1. Prepare Thumbtacks sales budget for April and May, 2012. Round all amounts to the nearest $1. 2. Prepare Thumbtacks inventory, purchases, and cost of goods sold budget for April and May. 3. Prepare Thumbtacks operating expenses budget for April and May. 4. Prepare Thumbtacks budgeted income statement for April andMay.