Cash budget. Rose Valley Rehab Facility provided the financial information in Exhibit 5.17.

Prepare a cash budget for the facility for the quarter ending March 20X1.

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EXHIBIT 5.17 ROSE VALLEY REHAB FACILITY Givens Revenues Patient Revenues, 20X0 Patient Revenues, 20X0 Estimated Patient Revenues, 20X1 July August $5,200,000 $5,400,000 November October $5,500,000 January $5,600,000 $5,550,000 February $5,500,000 September $5,500,000 December $5,600,000 March $5,500,000 Other Revenues, 20X1 Receipt of Payment for Patient Services/Revenues January $900,000 Current month of service 45% February March $910,000 1st month of prior service 25% $950,000 2nd month of prior service 10% 3-6 months of prior service 5% Expenses Supplies Purchases, Estimated Supplies 20X0 Purchases, 20X1 October $900,000 January $1,000,000 January November $950,000 February $1,025,000 February Other Estimated Expenses, 20x1" Nursing Admin. Other $3,000,000 $200,000 $700,000 $3,100,000 $200,000 $675,000 December $1,000,000 March Timing of Cash Payment for Supplies Purchases 0% Month purchased $1,050,000 March $3,200,000 $200,000 $650,000 April $1,075,000 April $3,300,000 $200,000 $525,000 Ending Cash Balances December, $700,000 20X0 60% +1 month b 50% 30% +2 months 10% +3 months *All estimated expenses are cash outflows for the given month. *The ending balance for each month as a percentage of the estimated cash outflows for the next month.