A. Abu has prepared the following budgets for his first four months in business: Sales Purchases Wages Overheads RM RM RM RM January 6,000 2,500 600 1,000 February 5,000 2,000 600 1,000 March 4,000 1,500 800 1,000 April 4,000 3,000 800 1,200 4/5 ACC5100 CONFIDENTIA L The following additional information is available: 1. 40% of the sales are expected to be cash sales with the remaining customers allowed one month's credit. 2. Purchases are paid for in the month after purchase. 3. Wages are payable in the month they are incurred. 4. Overheads, which do not include depreciation, are payable in the month they are incurred. 5. Abu will invest RM10,000 capital in the business in January. 6. A motor vehicle, for business use, will be purchased and paid for in January for RM8,000. Abu intends to depreciate the vehicle 20% per annum, 7. Closing stock at the end of April is expected to have a value of RM1,500. Required: Prepare cash budget for each month from January to April. (18 marks) B. Describe TWO (2) common benchmarks can be used to evaluate actual performance. Explain which of the two is generally more useful. (4 marks)