5. Prepare a cash budget for January 2006 to March 2006 with the following information given. Oct. Nov. Dec. Jan. Feb. Mar. Apr. Sales 1400 1000 800 1000 1000 12001000 Production 1250 1200 1000 800 1500 1750 1400 Cash balance at 1 January 2006 = 5500 Selling price = 16.00 1/2 received in the production month being considered. 1/2 received two months later (e.g. in January receive 1/2 of January's plus 12 of November's) 5. Prepare a cash budget for January 2006 to March 2006 with the following information given. Oct. Nov. Dec. Jan Feb Mar Apr. Sales 1400 1250 1000 1200 800 1000 1000 1000 1200 1000 800 1500 1750 1400 Production Cash balance at 1 January 2006 = 5500 Selling price = 16.00 1/2 received in the production month being considered 1/2 received two months later (e.g. in January receive 1/2 of January's plus 1/2 of November's) Direct labour = 5.00 paid same month of production Direct materials = 5.00 paid the month before production Variable costs = 4.00 1/2 paid in the month before production 1/2 paid in the month of production (e.g. for January, pay 1/2 in December plus/2 in January) Fixed costs = 1500 per month. Use the grid on page 8 to illustrate your answers. January February March Opening balances Receipts (1) Receipts (2) TOTAL INCOME Direct labour Direct materials Variable costs (1) Variable costs (2) Fixed costs TOTAL COSTS NET TOTAL FOR MONTH