Using the data above, complete the following statements and schedules for the first quarter: 1. Schedule of expected cash collections: 2-a. Merchandise purchases budget 2.b Schedule of expected cash disbursements for merchandise purchases: 3. Cash budget 4. Prepare an absorption costing income statement for the quarter ending March 31 5. Prepare a balance sheet as of March 31. Complete this question by entering your answers in the tabs below. Complete the Schedule of expected cash collections: Hillyard Company, an office supplies specialty store, gathered the following information to prepare its master budget for the first quarter of the year a. As of December 31 che end of the prior quarten, the company's general iedger showed the following account balances: b. Actual sales for December and budgeted sales for the next four months are as follows: c. Sales are 20% for cash and 80% on credit. All payments on credit sales are collected in the month following sale. The accounts receivable at December 31 are a resut of December credit sales. d. The company's gross margin is 40% of sales. (in other words, cost of goods sold is 60% of sales) e Monthily expenses are budgeted as follows falaries and wages, $27,000 per month, advertising, $67,000 per month; shipping. 5% of sales, other expenses, 3% of sales Depreciation, including depreciation on new assets acquired during the quarter, will be $44.020 for the quarter f. Each month's ending inventory should equal 25% of the following month's cost of goods soid. 9. One half of a month inventory purchases is paid for in the month of purchase; the other half is paid in the following month. h. Durng February, the comparny wilf purchose a new copy machine for $2.2.00cash. During March, other equipment will be Complete this question by entering your answers in the tabs below. Complete the merchandise purchases bodqets Saved Complete the cash budget. Notel Cash deficlency, repayments and interest should be indicated by a minus doin. Prepare an absorption costing income statement for the quarter ending March 31 . 4. Prepare an absorption costing income statement for the quarter ending March 31. 5. Prepare a balance sheet as of March 31 Complete this question by entering your answers in the tabs below. Complete the schedule of expected cash disbursements for merchandise purchases. e. Monthly expenses are budgeted as follows salaries and wages, $27,000 per month; advertising, $67,000 per month; shipping. 5% of soles, other experises, 3 \% of sales. Depreciation, inciuding depreciation on new assets acquired during the quarter, wili be $44020 fortic quarter 1. Each montis ending inventory should equal 25% of the following month's cost of goods sold. 9. One-half of a month's inventory purchases is paid for in the month of purchase; the other haif is paid in the following month. h During February, the company wil purchase a new cogy machine for $2.200 cath During March, other equipment wil be purchased for castiots cost of $76,000 1. Purng fanuary, the company will declare and pay $45,000 in cash dividendi. 1) Monogement wants to maintain a minimum cash balance of $30,000. The company has an agreement with a local bank allowing it to borrow in increments of $1,000 at the beginning of each month. The interest rate on these loans is 1 is per month, and for simplicity, we wil assume interest is not compounded. The company would, as far as if is able, repay the loan plus accumulated interest at the end of the quarter. Required: Using the data above, complete the following statements and schedules for the first quarter 1. Schedule of expected cashicollections! 2. Merchancise purchases budget: 2.b. Schedute of expected casti disbursements for merchandise purchases: 3. Cash budget 4. Prepare an absorption costing income statement for the quarter ending March 31 . 5. Prepare a balance sheet as of March 31. Complete this question by entering your answers in the tabs below. Complete the schedule of expected cash callections