• Al Dentes cash balance on March 1 is $2,500. It has provided the following information for the month of October:
• Sales are budgeted to be $157,000 in March. February sales were $181,500 and January sales were $196,200. 15% of sales are collected in cash, with the remaining 85% being credit sales. Collection of credit sales are made according to the following schedule:
  • 60% in the month of sale
  • 30% in the month following sale
  • 10% in the second month following sale.
• Food and supply purchases are expected to be $120,000 in March. Food and supply purchases in February were $150,000. Al Dentes pays 25% in the month of purchase, and 75% in the month following.
• Other cash disbursements total $24,900
• Depreciation for the month is budgeted to be $900.
• Al Dentes would like to maintain a minimum cash balance of $2,500. Borrowings, if needed, are made in $1,000 increments at 1% interest per month.

1. How much cash is budgeted to be collected in March from February's credit sales?
2. What are the total budgeted cash collections from sales for the month of March?
3. What are total budgeted cash disbursements in March for food and supply purchases?
4. How much, if any, must Al Dente borrow in order to maintain the minimum cash balance?
5. What is Al Dente's ending cash balance after financing?