ABC Ltd. a newly started company wishes to prepare Cash Budget from January. Prepare a cash budget for the first six months from the following estimated revenue and expenses. Month Total Sales (5) Overheads Materials () Wages () Production (3) Selling & Distribution (3) January 20,000 20,000 4,000 3,200 800 February 22,000 14,000 4,400 3,300 900 March 28,000 14,000 4,600 3,400 900 April 36,000 22,000 4,600 3,500 1.000 30,000 May 20,000 4,000 3,200 900 40,000 25,000 5,000 June 3,600 1.200 Cash balance on 1st January was 10,000. A new machinery is to be installed at $20,000 on credit, to be repaid by two equal instalments in March and April, sales commission @5% on total sales is to be paid within a month following actual sales. 210,000 being the amount of 2nd call may be received in March. Share premium amounting to 32,000 is also obtained with the 2nd call. Period of credit allowed by suppliers -- 2months; period of credit allowed to customers - Imonth, delay in payment of overheads 1 month. delay in payment of wages 'month. Assume cash sales to be 50% of total sales