Video Assistance Question 8 of 9 < -adba-4eec-b67c-309841d7a8c1#/question/7 -/ 2.25 Current Attempt in Progress Sheffield Company prepares monthly cash budgets. Relevant data from operating budgets for 2025 are as follows. January February Sales $453,600 $504,000 Direct materials purchases 151,200 157,500 Direct labor 113,400 126,000 Manufacturing overhead 88,200 94,500 Selling and administrative expenses 99,540 107,100 !!! All sales are on account. Collections are expected to be 50% in the month of sale, 30% in the first month following the sale, and 20% in the second month following the sale. Sixty percent (60%) of direct materials purchases are paid in cash in the month of purchase, and the balance due is paid in the month following the purchase. All other items above are paid in the month incurred except for selling and administrative expenses that include $1,260 of depreciation per month. Other data: 1. Credit sales: November 2024, $315,000; December 2024, $403,200. 2. Purchases of direct materials: December 2024, $126,000. 3. Other receipts: January-Collection of December 31, 2024, notes receivable $18,900; February-Proceeds from sale of securities $7,560. 4. Other disbursements: February-Payment of $7,560 cash dividend. The company's cash balance on January 1, 2025, is expected to be $75,600. The company wants to maintain a minimum cash balance of $63,000. Question 8 of 9 < > - Q Search - / 2.25 E Prepare schedules for (1) expected collections from customers and (2) expected payments for direct materials purchases for January and February. SHEFFIELD COMPANY Schedule of Expected Collections from Customers January February November $ $ December January February Total collections $ $ SHEFFIELD COMPANY Schedule of Expected Payments for Direct Materials January February December $ $ January February Total payments $ $ Q Search