14. During the fiscal year ended December 31, 2021, Wood Parts-Musical Instruments will be required to make monthly income tax installment payments of $5,000. Outstanding income taxes from the year ended December 31, 2020 must be paid in April 2021. Income tax expense is estimated to be 30% of net income. Income taxes for the year ended December 31, 2021, in excess of installment payments, will be paid in April, 2022

Wood Parts-Musical Instruments approved to purchase new equipment for $306,000 cash. Three equal payments to the suppliers will be in February 2021, March 2021 and April 2021. The equipment depreciation from this equipment, is already considered (included) in the manufacturing overhead cost given.

16. The company wants to maintain at the end of each month, a minimum bank balance of $80,000. In case the company has a deficiency of money or it is not able to reach this minimum bank balance, the company can borrow from a line of credit at the same bank at the rate of 12% per annum. All borrowing is considered to happen on the first day of the month, repayments are on the last day of the month. All borrowings and repayments from the bank should be in multiples of $1,000 and interest must be paid at the end of each month. Interest is calculated on the balance at the beginning of the month, which includes any amounts borrowed that month.

17. Wood Parts-Musical Instruments LTd pays dividends at the end of each quarter, and based on the last meetings, the company will continue paying $50,000 dividends per quarter.

prepare a monthly statement of the Cash Budget