2. The preparation of a cash budget Smith Brothers Inc. is a distributor of men's, women's, and children's shoes. The company imports shoes primarily from Europe and sells them to specialty clothing and shoe stores around the country. The company's chief accountant has gathered the following information to aid in the preparation of a cash budget for the first quarter of year 2. January February March Interest revenue from investments $2,825 $3,067 $2,210 Estimated cash payment for manufacturing costs 1,099,165 1,179,578 1,754,403 Interest payments on a line of credit 14,690 12,325 17,181 Income tax payments 171,893 Purchase of factory equipment for cash 1,360,690 1,477,010 921,408 Selling and administrative expense cash payments 226,390 219,415 238,100 Minimum cash balance 282,500 282,500 282,500 Cash balance at beginning of month 295,555 The company expects to collect cash on its accounts receivable during the three months, as follows: January: $3,085,700 February: $3,064,670 March: $3,067,400 Complete the following cash budget for Smith Inc. by entering the appropriate values in the spaces provided. Use a minus sign to indicate the negative amount. Smith Brothers Inc. Cash Budget For the Quarter Ending March 31, Year 2 January February March Estimated cash receipts from Collections on accounts $3,085,700 $3,064,670 receivable Interest revenue 2,210 Total cash receipts $3,088,525 $3,069,610 Estimated cash payments for Manufacturing costs $1,099,165 Selling and administrative 226,390 238,100 expenses Purchase of factory equipment 1,477,010 921,408 Interest expense 14,690 12,325 Income taxes 171,893 Total cash payments $ $3,102,985 Cash increase (decrease) $179,409 Cash balance at beginning of 295,555 month Cash balance at end of month Minimum cash balance 282,500 Excess (deficiency) $ $546,679 $