5203 in Connect l .:: ' C Garden Depot Is A Retailer The: .mhedu-'atlon Pom 0' Mia\" - F'. " T ' . r ' .. t 'r'ouTut-e Preparing a Cash Budget [L02 CC12] Garden Depot is a retailer that is preparing its budget for the upcoming scal year. Management has prepared the following summary of its budgeted cash flows: 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Total cash receipts $180,000 $330,000 $210,000 $230,000 Total cash disbursements 260,000 230,000 220,000 240,000 The company's beginning cash balance for the upcoming scal year will be $20,000. The company requires a minimum cash balance of $10,000 and may borrow any amount needed from a local bank at an annual interest rate of 12%. The company may borrow any amount at the beginning of any quarter and may repay its loans, or any part of its loans, at the end of any quarter. Interest payments are due on any principal at the time it is repaid. Garden intends to make payments to retire loans Whenever cash is available. Required" Prepare the company's cash budget for the upcoming scal year. How does the fourth quarter ending cash balance change if interest on borrowing is accrued until the end of the fourth quarter and total borrowings and interest are paid in full at that time? BRIEF EXERCISE 79 Drnnnrinn 9 nl IrlnaI-nr' Innnma Qinfnmnni- n n? _ (\"P111