Please show how to do this in Excell. Thank you. You have just been hired as a management trainee by Cravat Sales Company, a nationwide distributer ofa designer's silk ties. The company has an extensive franchise in the distribution of the ties, and saleshave grown so rapidly over the last few years that it has become necessary to add new members to themanagement team. You have been given responsibility for all planning and budgeting. Your firstassignment is to prepare a master budget for the next three months, starting April 1. You are anxious tomake favorable impression on the president and have assembled the information below.The company desires to maintain a minimum ending cash balance each month of $10,000. The ties aresold to retailers for $9.00 each. Recent and forecasted sales in units are as follows:MonthJanuary ActualFebruary ActualMarch ActualAprilMayUnitsVariable:Sales Commissions20,00024,000Fixed:Wages and SalariesUtilitiesInsuranceDepreciationMiscellaneous28,00035,00042,500MonthThe large buildup in sales before and during June is due to Father's Day. Ending inventories aresupposed to equal 90% of the next month's sales in units. The ties cost the company $5 each.Purchases are paid for as follows: 55% in the month of purchase and the remaining 45% in the followingmonth.JuneAll sales are on credit, with no discount, and payable within 15 days. The company has found, however,that only 30% of a month's sales are collected by month-end. An additional 50% is collected in thefollowing month, and the remaining 20% is collected in the second month following sale. Bad debts havebeen negligibleThe company's monthly selling and administrative expenses are given below:$30,000$14,000JulyAugustSeptemberOctober$ 1,200$1,500$ 4,000$1.00 for each unit (tie) soldUnits60,00040,00035,00030,00030,000All selling and administrative expenses are paid during the month, in cash, with the exception ofdepreciation and insurance expired. New fixtures will be purchased during May for $52,000 cash. The company declares dividends of $15,000 per quarter, payable in the first month following quarter end. Thecompany follows calendar quarters.The company has an agreement with a bank that allows it to borrow in increments of $1,000 at thebeginning of each month, up to a total loan balance of $150,000. The interest rate on these loans is 12%per annum, and for simplicity, we will assume that interest is not compounded. On the last day of eachcalendar quarter, the company must pay the bank all of the accumulated interest on the loan and asmuch of the loan as possible (in increments of $1,000), while still retaining at least $10,000 in cash.The company's balance sheet at March 31" is shown below:Accounts receivable.Inventory.Prepaid insuranceFixed assets, net of depreciationTotal Assets......Liabilities and Stockholders' EquityAccounts payable..Dividends payable..Capital stockRetained camnings..Total abilities and stockholders' equity.$14,100219,600-157.50014,400..169,000-$574,600$77,17512,000300,000185.425$574,609Required:Prepare a master budget for the three-month period ending June 30th. Include the following detailedbudgets/schedules:1) A. Sales budget by Month with a total for the period.B. Schedule of expected cash collections from sales, by month and a total for the quarter.C. Merchandise purchases budget in units and in dollars. Show the budget by month and in total.D. Schedule of expected cash disbursements for merchandise purchases, by month and in total.2) A cash budget, show the budget by month and in total for the quarter.Your master budget must be prepared in Excel. Please use a separate tab for each required budgetlisted above. However, you may choose to combine requirements 1C and 1D into single tab within yourExcel workbook. Your submission to Canvas should be a single self-contained Excel workbook usingformulas and references cells between workbook tabs professionally present with formatting, correctspelling, etc. You may include additional tabs / schedules beyond the items listed in the requirements asappropriate.

Budgeting is a method of estimating expected future outcomes based on past events. Budgeting…

You have just been hired as a management trainee by Cravat Sales Company, a nationwide distributer of a designer's silk ties. The company has an extensive franchise in the distribution of the ties, and sales have grown so rapidly over the last few years that it has become necessary to add new members to the management team. You have been given responsibility for all planning and budgeting. Your first assignment is to prepare a master budget for the next three months, starting April 1. You are anxious to make favorable impression on the president and have assembled the information below. The company desires to maintain a minimum ending cash balance each month of $10,000. The ties are sold to retailers for $9.00 each. Recent and forecasted sales in units are as follows: Month January Actual February Actual March Actual April May Units 20,000 24,000 28,000 35,000 42,500 Variable: Sales Commissions Fixed: Wages and Salaries Utilities Insurance Depreciation Miscellaneous Month June July August September October The large buildup in sales before and during June is due to Father's Day. Ending inventories are supposed to equal 90% of the next month's sales in units. The ties cost the company $5 each. Purchases are paid for as follows: 55% in the month of purchase and the remaining 45% in the following month. All sales are on credit, with no discount, and payable within 15 days. The company has found, however, that only 30% of a month's sales are collected by month-end. An additional 50% is collected in the following month, and the remaining 20% is collected in the second month following sale. Bad debts have been negligible The company's monthly selling and administrative expenses are given below: $30,000 $14,000 $1,200 $1,500 $ 4,000 Units 60,000 40,000 $1.00 for each unit (tie) sold 35,000 30,000 30,000 All selling and administrative expenses are paid during the month, in cash, with the exception of depreciation and insurance expired. New fixtures will be purchased during May for $52,000 cash. The