Use the following to answer questions 14:20 POINTS Markoff Company sells a seasonal product that is very popular as a Mothers Day gift, which occurs on the 2nd Sunday of May. The company's sales budget for the months of February through June are as follows: Feb Mar Apr May Budgeted Sales (all on account) $ 23,000 $ 25,000 $ 30,000 $ 50,000 $ 20,000 Their past experience indicates that 20% of a month's sales are collected in the month of sale, another 70% are collected in the month following the sale, and the final 10% are collected in the 2nd month following the sale. 1. The amount of cash expected to be collected in May is 2. ASSUME that the accounts receivable as of May 30 was $30,000. The balance of accounts receivable as of April 30th is expected to be 3. The company is concerned with their cash flow, and the fad that only 20% of the current onth sales are collected in that same month. They have asked you for some advice on how they could increase this amount Explain, making one recommendation 4. Management has come to you, as they are concerned with the drop in estimated sales from $50,000 in May to only $20,000 in June. In your opinion, is there a reason for them to be concerned? Yes or No and WHY (OR WHY NOT)? VOLUNTARY COMPUTATION AREA