Assume that management of SeaTech, Inc., desires to maintain a minimum cash balance of $19,200 at the beginning of each month and has arranged a $100,000 line of credit with a local bank at an interest rate of 9% to ensure the availability of funds. Borrowing transactions are to occur only at the end of months in which the budgeted cash balance would otherwise fall short of the $19,200 minimum balance. Repayments of principal and interest are to occur at the end of the earliest month in which sufficient funds are expected to be available for repayment. (Do not round intermediate calculations. Use 360 days year for calculations.)

SEATECH, INC.
Cash Budget
For the months of April, May, and June, 2016
	April	May	June
Beginning cash balance	$28,000	$19,200	$19,200
Cash Receipts:
From cash sales made in current month	84,000	102,000	114,000
From credit sales made in:
February	89,880
March	125,832	83,888
April		117,600	78,400
May			142,800
Total cash available	$327,712	$322,688	$354,400
Cash Disbursements:
For cost of goods sold/operating expenses incurred in:
March	$45,200
April	156,800	39,200
May		190,400	47,600
June			212,800
For payment of note payable and interest	83,733
For capital expenditures	34,400
For payment of income taxes		80,000
For payment of dividends			32,000
Total disbursements	$320,133	$309,600	$292,400
Excess (deficiency) of cash available over disbursements	$7,579	$12,888	$61,800
Borrowings	11,421	6,112
Repayments			(17,533)
Interest			(349)
Ending cash balance	$19,000	$19,000	$43,918