Combined cash budgets Veerans Manufacturing is preparing its cash budgets for the first two months of the upcoming year. The following information concerns the companys upcoming cash receipts and cash disbursements. a. Sales are 30% cash and 70% credit. Credit sales are made at 4,15n30. 65% of the credit sales are collected in the month of sale with 80% of these collections took advantage of the discount while remainder paid at month end of the sales. 35% of the credits sales are collected in the month after sale. Actual sales in December were $55,000. Schedules of budgeted sales for the two months of the upcoming year are as follows: Budgeted Sales Revenue January $60,000 February $68,000 b. Actual purchases of direct materials in December were $24,000. Veerans purchases of direct materials in January are budgeted to be $22,000 and $26,000 in February. All purchases are paid 20% in the month of purchase and 80% the following month. c. Salaries and sales commissions are also paid three quarter in the month earned and a quarter the next month. Actual salaries were $8,000 in December. Budgeted salaries in January are $9,000, and February budgeted salaries are $10,500. Sales commissions each month are 10% of that months sales. d. Rent expense is $3,000 per month. Lease of fax machines are paid 21st day of each month at the rate of 20cent per last month sales. e. Depreciation is $2,500 per month. f. Estimated income tax payments are made at the end of January. The estimated tax payment is projected to be $12,500. g. The cash balance at the end of the prior year was $21,000. h. Its the corporation policy to maintain a cash balance of $20,000. To achieve this policy, management of Veerans Manufacturing took line of credit at 8.95% interest payable a month after use. 1. Prepare a combined cash budget using Excel worksheet to record all situations described above.