Additional information:

William Go is the owner and manager of the Kentucky Company. He is in the process of preparing a budget for the first six months of 2021, Income statement estimates for each month are given below: Sales Cost of sales Expenses Depreciation Total Net income Jan. Feb. March April May June P92,000 P82,000 P102,000 P146,000 P172,000 P188,000 P50,000 P46,000 P56,000 P68,000 P88,000 P96,000 16,000 14,000 16,000 22,000 24,000 28,000 8,000 8,000 8,000 P74,000 P68,000 P80,000 P18,000 P14,000 P22,000 8,000 10,000 10,000 P98,000 P122,000 P134,000 P48,000 P50,000 P54,000 During the six-month period, William anticipates the following changes in certain balance sheet accounts during each month. The increases and (decreases) are given below: Hanap Jan. . Feb. March Accounts receivableP(6,000) P4,000 P12,000 Inventories (8,000) 14,000 Accounts payable 2,000 (6,000) 8,000 0 April May June P(4,000) P6,000 P(8,000) 0 (10,000) 16,000 2,000 (4,000) (4,000) The cash balance on January 1, 2021 is expected to be P46,000. New equipment costing P86,000 is to be purchased for cash in April. An investment in BSP bonds in the amount of P50,000 is to be made in February. Each month, William plans to withdraw P15,000 for his personal use. REQUIRED: 1. William hopes to have a cash balance of no less than P40,000 at all times. Can this be accomplished without securing a bank loan or obtaining cash from other sources. To answer this prepare a cash budget similar to the one on page 172.