What do I need to do to find the merchandise cash dispursements?

The company sells many styles of earrings, but all are sold for the same price-$10 per pair. Ac- tual sales of earrings for the last three months and budgeted sales for the next six months fol- low (in pairs of earrings): January (actual) ..... February (actual).... March (actual) ...... April (budget) ....... May (budget) ....... 20,000 26,000 40,000 65,000 100,000 June (budget) ........ July (budget) ....... August (budget) ..... September (budget).... 50,000 30,000 28,000 25,000 The concentration of sales before and during May is due to Mother's Day. Sufficient inventory should be on hand at the end of each month to supply 40% of the earrings sold in the following month. Suppliers are paid $4 for a pair of earrings. One-half of a month's purchases is paid for in the month of purchase; the other half is paid for in the following month. All sales are on credit, with no discount, and payable within 15 days. The company has found, however, that only 20% of a month's sales are collected in the month of sale. An additional 70% is collected in the following month, and the remaining 10% is collected in the second month following sale. Bad debts have been negligible. Monthly operating expenses for the company are given below: 4% of sales Variable: Sales commissions ...... Fixed: Advertising .... Rent .......... Salaries ....... Utilities ........ Insurance ....... Depreciation $200,000 $18,000 $106,000 $7,000 $3,000 $14,000 Insurance is paid on an annual basis, in November of each year. The company plans to purchase $16,000 in new equipment during May and $40,000 in new equipment during June; both purchases will be for cash. The company declares dividends of $15,000 each quarter, payable in the first month of the following quarter. A listing of the company's ledger accounts as of March 31 is given below: $ 74,000 Assets Cash ..... Accounts receivable ($26,000 February sales: $320,000 March sales) Inventory Prepaid insurance Property and equipment (net) ... Total assets .... 346,000 104,000 21,000 950,000 $1,495,000 $ 100,000 Liabilities and Stockholders' Equity Accounts payable Dividends payable ........ Capital stock Retained earnings ...... Total liabilities and stockholders' equity ....... 15,000 800,000 580,000 $1,495,000 The company maintains a minimum cash balance of $50,000. All borrowing is done at the be- ginning of a month; any repayments are made at the end of a month