5 Kayak Company budgeted the following cash receipts (excluding cash receipts from loans received) and cash payments (excluding cash payments for loan principal and interest payments) for the first three months of next year. 2 points January February March Cash Receipts $ 520,000 402,000 472,000 Cash payments $ 469,000 351,000 532,000 eBook Kayak requires a minimum cash balance of $40,000 at each month-end. The company can borrow money at a monthly interest rate of 1%, paid on the last day of each month. The interest is computed based on the beginning balance of the loan for the month. Any preliminary cash balance above $40,000 is used to repay loans at month-end. The company has a cash balance of $40,000 and a loan balance of $80,000 at January 1. Hint Prepare monthly cash budgets for January, February, and March. (Negative balances and Loan repayment amounts (if any) should be indicated with minus sign.) Print KAYAK COMPANY References Cash Budget January $ 40,000 February March Beginning cash balance Add: Cash payments for Total cash available 351,000 532,000 469,000 509,000 Interest on loan 0 0 0 Total cash payments Preliminary cash balance Loan activity Ending cash balance Loan balance $ 80,000 $ 01 Loan balance - Beginning of month Additional loan (loan repayment) Loan balance, end of month