1. Cooper Company, a retailer of camping supplies has budgeted activity for

January using the following data:

January cash sales

25,000

January credit Sales(60% collected in month of sale)

380,000

Selling and administrative costs(including depreciation)

50,000

Depreciation expense

5,000

Merchandise Inventory, January 1

21,000

Merchandise Inventory, January 31

20,000

Beginning cash balance

3,000

Minimum cash balance required

2,500

Cost of goods sold is 55% of Cooper's selling price

All purchases are paid in cash

Selling and administrative costs are paid in month of purchase.

Q: Prepare a cash budget for January.