Check my work 5 Kayak Company budgeted the following cash receipts (excluding cash receipts from loans received) and cash payments (excluding cash payments for loan principal and interest payments) for the first three months of next year. 2. points January February March Cash Receipts $ 525,000 402,000 460,000 Cash payments $ 469,600 346,600 523,000 eBook Hint Kayak requires a minimum cash balance of $40,000 at each month-end. The company can borrow money at a monthly interest rate of 1%, paid on the last day of each month. The interest is computed based on the beginning balance of the loan for the month. Any preliminary cash balance above $40,000 is used to repay loans at month-end. The company has a cash balance of $40,000 and a loan balance of $80,000 at January 1. Print References Prepare monthly cash budgets for January, February, and March. (Negative balances and Loan repayment amounts (if any) should be indicated with minus sign.) March KAYAK COMPANY Cash Budget January February $ 40,000 $ 40,000 525,000 402,000 565,000 442,000 Beginning cash balance Add: Cash receipts Total cash available 460,000 469,000 346,000 523,000 800 Cash payments Interest on loan Total cash payments Preliminary cash balance Loan activity 346,000 523,000 469,800 (429,800) Ending cash balance Loan balance $ 80,000 $ 0 Loan balance - Beginning of month Additional loan (loan repayment) Loan balance, end of month