4 / 8 100% + QUESTION 5 The following is the information about Melur Restaurant in Year 2019 Actual sales revenue in November was RM400,000 Actual purchases (cost of sales) in November was RM150,000 Sales revenue is 40% cash. Credit card sales revenue is 60% of sales, of which 96% is collected in the month of sales; the remaining 4% is collected early in the following month. Purchases of inventory, 20% is paid in the month of purchase and the remaining 80% is paid in the month following the purchases. The condensed budgeted income statement for December, Year 2018, follows: Sales revenue RM 375,000 Cost of sales 145,000 Wages expense 105,000 Operating expenses 70,000 Rent expense 27,500 Depreciation expense 12,500 Total expenses (360.000) Operating income 15,000 The wages and operating expenses included in the budgeted income statement will be paid in December, Year 2019. Rent was prepaid in January for the entire year. a) Prepare a cash budget for the month of December, Year 2010 November ending cash is RM24,000 b) Distinguish the effect tighter credit policy and credit procedure may have on the cash flow and on the income flow (15 marks) 33C Rain 3