1. A Manufacturer made one product Tiles. Sales for the period consists of the following information:

Month $

November 100,000

December 350,000

January 300,000

February 250,000

March 300,000

Balance brought down was $40,000

Purchases of Raw Material: January $ 60,000; February 55,000; and March 60,000.

Purchase equipment $10,000 to be paid for in February; Salary for each month $10,000; Electricity $4000 per month; Rent $12,000 each, Depreciation $5000. Income tax for the year paid in March $3000.

All Sales are done on credit and collection are collected every quarter.

Collection schedule as follows; 60 percent in the month of sale

30 percent in the month following sale and 20 percent two months following sale.

You are required to prepare:

A: The receivable schedule

B: The Cash Budget for the first Quarter 2021

(30 marks)