A Company's projected sales, in units, for the first 4 months of 2015 are as follows:...

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A Company's projected sales, in units, for the first 4 months of 2015 are as follows: Month January February March April Units 130,000 100,000 180,000 220,000 Each unit sells for $25 and costs $10 to acquire from a supplier. The company's cash collection pattern is as follows: Month following sale: Month of sale: 2nd month following sale: 60% 25% 12% 3% Uncollectible: The company's policy is to have enough goods on hand at the end of each month to meet 30% of the next month's sales. Payments to suppliers are made as follows: Month of purchase: Month following purchase: 65% 35% Other operating expenses for the month of March are expected to be $2,300,000, including $230,000 of amortization expense. All operating expenses are paid in the month they occur. The company expects to have $35,000 cash on hand at the beginning of March and wants a minimum cash balance of $25,000. The company has access to a line of credit, and the controller is very interested to know if there will be requirements to draw down the line of credit at any time. Required: Prepare a cash budget for the month of March addressing the controller's query regarding line of credit. A Company's projected sales, in units, for the first 4 months of 2015 are as follows: Month January February March April Units 130,000 100,000 180,000 220,000 Each unit sells for $25 and costs $10 to acquire from a supplier. The company's cash collection pattern is as follows: Month following sale: Month of sale: 2nd month following sale: 60% 25% 12% 3% Uncollectible: The company's policy is to have enough goods on hand at the end of each month to meet 30% of the next month's sales. Payments to suppliers are made as follows: Month of purchase: Month following purchase: 65% 35% Other operating expenses for the month of March are expected to be $2,300,000, including $230,000 of amortization expense. All operating expenses are paid in the month they occur. The company expects to have $35,000 cash on hand at the beginning of March and wants a minimum cash balance of $25,000. The company has access to a line of credit, and the controller is very interested to know if there will be requirements to draw down the line of credit at any time. Required: Prepare a cash budget for the month of March addressing the controller's query regarding line of credit.