Cora Hamilton recently graduated from college and moved to Charlotte to take a job as a market research analyst. She was pleased to be financially independent and was sure that, with her $45,000 salary, she could cover her living expenses and have plenty of money left over to furnish her studio apartment and enjoy the wide variety of social and recreational activities available in Charlotte. She opened several department-store charge accounts and obtained a bank credit card. For a while, Cora managed pretty well on her monthly take-home pay of $2,893, but by the end of 2020, she was having trouble fully paying all her credit card charges each month. Concerned that her spending had gotten out of control and that she was barely making it from paycheck to paycheck, she decided to list her expenses for the past calendar year and develop a budget. She hoped not only to reduce her credit card debt but also to begin a regular savings program. Cora prepared the following summary of expenses for 2020: Item Annual Expenditure Rent $11,700 Auto insurance 1,855 Auto loan payments 3,840 Auto expenses (gas, repairs, and fees) 1,560 Clothing 3,200 Installment loan for stereo 540 Personal care 424 Phone 552 Cable TV 428 Gas and electricity 1,080 Medical care 120 Dentist 70 Groceries 2,500 Dining out 2,600 Furniture purchases 1,320 Recreation and entertainment 2,900 Other expenses 600 After reviewing her 2020 expenses, Cora made the following assumptions about her expenses for 2021: 1. All expenses will remain at the same levels, with these exceptions: a. Auto insurance, auto expenses, gas and electricity, and groceries will increase 5 percent. b. Clothing purchases will decrease to $2,250. c. Phone and cable TV will increase $5 per month. d. Furniture purchases will decrease to $624, most of which is for a new television. e. She will take a one-week vacation to Utah in July, at a cost of $2,100. 2. All expenses will be budgeted in equal monthly installments except for the vacation and these items: a. Auto insurance is paid in two installments due in June and December. b. She plans to replace the brakes on her car in February, at a cost of $220. c. Visits to the dentist will be made in March and September. 3. She will eliminate her bank credit card balance by making extra monthly payments of $75 during each of the first six months. 4. Regarding her income, Cora has just received a small raise, so her take-home pay will be $3,200 per month. 2. Make any necessary adjustments to Cora's estimated monthly expenses, and revise her annual cash budget for the year ending December 31, 2021, using Worksheet 2.3. Enter all expense amounts as positive values. Enter cash deficits, if any, as negative values. Round your answers to nearest cent. ANNUAL CASH BUDGET BY MONTH Name(s) Cora Hamilton For the year INCOME Take-home pay Jan. Feb. Mar. Aug. Oct. Apr. $ Dec. May $ June $ July $ Ending December 31, 2021 Nov. $ Sept. $ Total $ $ $ $ $ $ $ [1] Total Income $ $ $ $ $ $ $ $ $ $ $ $ $ EXPENSES Rent $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Gas & electricity Phone Cable TV Groceries Dining out Auto loan payments Car expenses (gas, repairs, and fees) Medical care, dentist Clothing Auto insurance Credit card payments Purchase stereo and furniture purchases Personal care Vacation Other recreation & entertainment Other expenses [2] Total Expenses CASH SURPLUSES (DEFICIT) [1-2] CUMULATIVE CASH SURPLUS (DEFICIT) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $