3. Prepare a cash budget for January through March and for the first quarter in total. The company maintains a minimum cash balance of $70,000, and this was the balance in the cash account on January 1st. Other expenses include $35,000 per month for rent, $24,000 per month for advertising, and $66,000 per month for depreciation. In addition, variable Selling & Administrative cost is $12 per unit sold, and the company paid a $20,000 dividend in February The company has an open line of credit with a bank and can borrow at an annual rate of 12%. For simplification assume that all loans are made at the beginning of the month when borrowing is needed, and repayments are made at the end of a month if there is enough cash to make the payment. Also, interest associated with a loan is only paid at the time when that loan or a portion thereof is paid. Additionally, all loans and repayments (not the interest portion) can only be made in increments of $1000 and the company would like to pay its debts, or a portion thereof, as soon as it has enough cash to do so. Budgeted sales in units would be: December of the previous year 70,000 January 80,000 February 60,000 March 80,000 April 100,000 Your Company Name Selling and Administrative Expense Budget For the first quarter ended March 2020 Quarter 1 Total January February 80,000 60,000 | $ March 80,000 220,000 $ $ Budgeted units sales Variable selling and administrative expense per unit Total variable selling and administrative expense Fixed selling and administrative expenses Advertising Rent Depreciation Total fixed selling and administrative expenses Total selling and administrative expenses Less depreciation Cash disbursements for selling and administrative expenses | $ _ $ _ $ - $ Your Company Name Cash Budget For the first quarter ended March 2020 Quarter February March - $ . Total January - $ $ - $ - $ - $ . Beginning cash balance add cash receipts Cash collections from customers Total cash available Less cash disbursements Total cash disbursements for merchandise purchases Cash from Selling and administrative Dividend Total cash disbursements Excess (deficiency) of cash available over disbursements Financing Borrowing (at the beginnings of the month) Repayments (at end of the month) Interest Total financing Ending cash balance - $ - $ $ - $ $ $ $ Selling and Administrative Expense Budget Variable selling and administrative expense per case Fixed selling and administrative expense per quarter Advertising Rent Depreciation Cash Budget Minimum cash balance annual rate Simple interest rate per month