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Check my work mode : This shows what is correct or inc orrect for the work you have completed so far. It does not indicate completion. Minden Company is a wholesale distributor of premium European chocolates. The company's balance sheet as of April 30 is given below: 30 Cash Inventory Buildings and equipment, net of depreciation Total assets $ 9,400 78,500 44,000 221,000 s 352,900 72,000 19,700 180,000 81,200 352,900 Common stock Total liabilities and stockholders' equity The company is in the process of preparing a budget for May and has assembled the following data a. Sales are budgeted at $256,000 for May. Of these sales, $76.800 will be for cash, the remainder will be credit sales. One-half of a month's credit sales are collected in the month the sales are made. and the remainder is collected in the following month. All of the April 30 accounts receivable will be collected in May b. Purchases of inventory are expected to total $188.000 during May. These purchases will all be on account. Forty percent of all purchases are paid for in the month of purchase; the remainder are paid in the following month. All of the April 30 accounts payable to suppliers will be paid during May c. The May 31 inventory balance is b d. Selling and administrative expenses for May are budgeted at $91.500, exclusive of depreciation. These expenses will be paid in at $83,000 cash. Depreciation is budgeted at $4.000 for the month. e. The note payable on the April 30 balance sheet will be paid during May, with $435 in interest. (All of the interest relates to May) f. New refrigerating equipment costing $7,000 will be purchased for cash during May g. During May, the company will borrow $23,100 from its bank by giving a new note payable to the bank for that amount. The new note will be due in one year

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Minden Company Schedule of Expected Cash Collections Cash sales - May 76800 Collections on account receivable: April 30 balance 78500 May sales [($256000-$76800)/2] 89600 Total cash receipts 244900

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