Chapter 9: Combined Cash Budget La Famiglia's cash balance on October 1 is $2,147. It has provided the following information for the month of October: Sales are budgeted to be $157,000. 85% of sales are cash; the remainder are credit. Credit sales are collected in the month following sale. Food and supply purchases are expected to be $120,000. La Famiglia pays 25% in the month of purchase, and 75% in the month following. Other expenses include the following: Salaries of $9,200, Utilities of $4,950, Rent of $3,600, Depreciation of $900, and Insurance of $1,200. Other expenses are paid in the month incurred. September sales were $181,500, and purchases of food and supplies in September were $150,000. La Famiglia would like to maintain a minimum cash balance of $2,000. Borrowings, if needed, are made in $1,000 increments at 1% interest per month which is paid at the first of the following month from when borrowed. 1. Prepare a cash collections budget for October. 2. Prepare a cash payment for food and supply purchases for October. 3. Prepare a combined cash budget for October