Question One Cairo Co. is preparing budgets for the quarter ending June 30, 2019. Budgeted sales dollars fo the next three months are: 1. The company policy is that 70% of the month sales is collected in the same month, 25% in the first month following the month of sales and the remaining is uncollectible. The March 31,2019 accounts receivable balance of $30,000 will be collected in full. 2. The direct material budget as follows: 3. The purchases of direct material are made in cash. 4. Budgeted operating expenses and equipment purchase: 5. The beginning cash balance in April is budgeted to be $40,000. 6. The company must maintain a minimum cash balance of $30,000. 7. An open line of credit is available at a local bank for any borrowing that may be needed during the month. All borrowing is done at the beginning of a month, and all repayments are made at the end of a month. Interest is paid only at the time of payment of principal. The annual interest rate is 18%. Reauired: 1. Prepare cash collection budget for April, May, and June 2. Prepare a cash budget for April, May, and June