Beacon Sales Limited Balance Sheet March 31, 2021 ASSETS Cash 35,000 Accounts receivable 26,000 Inventory 36,000 Buildings & equipment 75,000 Total assets 172,000 LIABILITIES Accounts payable 22,000 Note payable 25,000 Total liabilities 47,000 SHAREHOLDERS EQUITY Common shares 5,000 Retained earnings 120,000 Total shareholders equity 125,000 Total liabilities & shareholders equity 172,000 -Sales for April are budgeted to be $200,000. Sales are 25% cash and 75% credit. Credit sales are collected 40% in month of sale & 60% in following month - Purchases of inventory are expected to be $100,000 in April with all purchases being made on account. It is company policy to pay for 50% of all inventory purchases in month of purchase and 50% in the following month. - Selling & administrative expenses are expected to be $50,000 for April and will be paid in cash. Included in the selling and administrative expenses is depreciation on equipment of $8,000. - The $25,000 note payable at March 31 will be repaid in April plus interest of $125. - During the month of April the company will borrow $20,000 by signing a new note payable. - The company plans to pay a cash dividend of $10,000 in April - New equipment with a cost of $25,000 will be purchased in April

Required: Prepare a cash budget for April 2020.